How Many People Are Affected By Identity Theft?

How Many are Affected by Identity Theft?

Over 1 million people reported identity theft to the FTC in 2023, accounting for 19% of all reports. This surpasses any other type of claim, indicating the severity of the issue. In the same year, credit card fraud emerged as the most prevalent type of identity theft, with consumers filing 416,582 reports. 

People between ages 20 and 29 and 30 to 39 accounted for nearly the same number of identity theft reports as all the other age groups combined. People between ages 20 and 29 reported losing money 44% of the time due to fraud, compared to 25% of people ages 70 to 79. 

Together, fraud and identity theft reports spiked in 2021 to 6.12 million before dropping in 2022 to 5.3 million. In 2023, reports appear to have risen again, but not as dramatically as before. Total reports in 2023 were 5.39 million. Reports to the FTC for identity theft have been going down since 2020 despite making up the most significant percentage of all fraud reports in 2023. Reported incidents, however, may not reflect the many underreported incidents of identity theft that likely occur in any given calendar year. 

Not all consumers report instances of identity theft to the FTC. The Bureau of Justice Statistics publishes a report about victims of identity theft approximately every two years. The last report, published in 2021, indicated nearly 24 million people were victims of identity theft — 9% of U.S. residents age 16 or older. Total losses reported through this survey in 2021 were a combined $16.4 billion.
In 2021, around 22% of U.S. residents ages 16 or older, almost 60 million people, indicated that they had been the victim of identity theft at least once in their lifetime. Children are also common victims of ID theft in the U.S. In 2022, 915,000 cases of child identity theft were reported.

How Much is Lost to Fraud?

In 2023, 2.6 million consumers submitted fraud reports to the FTC. Compared to 2022, instances of fraud appear to have not risen or fallen very much, although losses increased by $1 billion. U.S. consumers lost $10 billion to fraud in 2023, a 14% increase from 2022. Across all types of fraud, median individual losses were $500. 

In 2023, consumers lost more money due to investment scams than through all other categories of fraud. This $4.6 billion is a 21% increase over the previous year, in which only $3.9 billion was reported lost. Individual median loss was high for investment-related scams, with losses reaching $7,700 per person, an increase of over $2,500 from 2022.

Consumers also lost a significant amount to imposter scams — a combined $2.7 billion among all such reports. Over 15% of total reports indicated an imposter scam, the highest number of reports after identity theft. 
Digital scams, especially those in which scammers contacted people through social media, led to the most significant losses in 2023. The number of scams perpetrated on social media accounts rose to 181,396, with 68% of people reporting a combined loss of nearly $1.5 billion.

What Types of Fraud are Most Prevalent?

Five types of fraud ranked the highest in 2023 for most reports to the FTC. Imposter scams, in which someone pretends to be a trustworthy individual to receive personal information or money, were the top reported fraud in 2023, with over 850,000 reports. Consumers reported roughly $2.67 billion in losses to imposter scams.

Five types of fraud ranked the highest in 2023 for most reports to the FTC. Imposter scams, in which someone pretends to be a trustworthy individual to receive personal information or money, were the top reported fraud in 2023, with over 850,000 reports. Consumers reported roughly $2.67 billion in losses to imposter scams. 

Online shopping and negative reviews, categorized as undisclosed costs, non-delivery and failure to honor a guarantee, were another significant source of loss in 2023. Over half of the reports to the FTC for this type of fraud reported losses — totaling almost $400 million.

Consumers also reported a significant loss to fraud related to prizes, sweepstakes, and lotteries. This type of fraud, such as those involving foreign lotteries and “free” prizes, lost consumers $338 million in 2023. However, only 13% of reports indicated a loss.

Investment fraud was the next most common type of fraud. Victims of this type, which includes anything related to gold, gems, art, rare coins and more, reported losses of $4.64 billion. Of the over 100,000 victims of investment-related fraud, 75% reported a loss. 

Finally, consumers lost a significant amount of money, a total of $491 million, to fraud related to business and other job opportunities. Victims of this type of fraud reported losing money due to false franchise opportunities, multilevel marketing schemes, work-at-home plans and more.

What Are the Most Common Frauds and Scams?

Scammers can be creative and will find almost any avenue to get what they want from you, whether it’s money or personal information. Remember to stay vigilant with your personal information, including your Social Security number, and always ask questions before sending money to someone you do not know. Some of the most common types of scams in 2023 are outlined below:

Blackmail scams

A blackmailer attempts to coerce money from individuals by threatening to share private, often embarrassing, content and information from their phone or computer. They will ask you to send them money through mobile apps or gift cards.

Charity scams

This type of scam tries to fool consumers into believing they are a real charity. They will pose as an actual charity or make up a name. Be aware that these types of scams are more prevalent around the holidays or after a significant natural disaster. 

Debt collection scams

Although legitimate debt collectors contact consumers to collect on debts, scammers try to exploit people by scaring them about debts they do not owe.

Debt settlement and debt relief scams

Like debt collection scams, these involve someone posing as a debt settlement or relief company. Avoid these types of businesses, especially those that charge fees before they are willing to help you.

FDIC logo misuse

Scammers sometimes falsely use the Federal Deposit Insurance Corporation (FDIC) logo to establish legitimacy. This logo is displayed legitimately on member bank websites and buildings, and you can check for FDIC-insured banks on the BankFind site. 

Foreclosure relief and mortgage loan modification scams

Scammers who promise to save consumers from foreclosure more often aim to take large amounts of money or even their homes. Be wary of schemes that require you to pay a lot of money upfront or ask you to sign suspicious paperwork. 

Grandparent scams

As artificial intelligence expands and becomes more sophisticated, scams use cloned voices and altered images to fool you into sending money. The person on the phone will often tell you they are in trouble and might even provide personal details to instill confidence. 

Imposter scams

Many people fall victim to schemes where scammers pretend to be someone they believe they should be able to trust. These scams may use caller ID or legitimate emails, such as those from local law enforcement, banks or government agencies. Remember that most places will never ask for personal information over the phone.

Lottery or prize scams

Sometimes, if a prize is too good to be true, it might be a scam. Be cautious if you receive a message indicating you’ve won a prize or sweepstakes. You should never share personal or financial details with someone over the phone or by email. A big red flag is when they require you to pay fees and taxes before providing more information about the supposed prize. 

Mail fraud

Many scams use the postal service system. These letters might appear real, but they will ask for money or personal information before you can receive a prize, vacation, or something else of value. 

Man-in-the-middle scams

This scam, a type of cyberattack, will trick you into giving a scammer access to your online movements. The scammer might also impersonate a real person, such as a lawyer or real estate agent, to get you to send money. Forgo connecting to public wireless networks whenever possible, and avoid clicking on unfamiliar online QR codes and links. 

Money mule scams

Many so-called “money mules” have no idea that they are assisting in a crime. They agree to receive and move fraudulently obtained funds, sometimes after being recruited through a social media post offering easy money for little work. 

Money transfer or mobile payment services fraud 

Be careful about sending money on mobile apps, even if they appear like legitimate government agencies. Only consider sending money to verified friends and family. 

Mortgage closing scams

These scams go after people getting ready to close on a house. They often pose as a real estate agent or another trustworthy individual to steal your down payment or closing costs. This type of fraud is an example of an elaborate man-in-the-middle scam.

Romance scams

Most romance scams begin online. After meeting you and appearing to make a meaningful love connection, they will suddenly ask for money or access to your finances. Do not send credit card or bank account information over text or social media, especially to someone you have never met.

Sale of nonexistent goods or services scams

Anyone who has been scammed out of concert tickets or a purebred dog has been a victim of this type of fraud. A scammer will ask you to send money first but never provide the goods or services discussed in the initial agreement. This scam also works the other way: Someone will buy something from you and then cancel their payment.

FAQ

Who is at the highest risk for identity theft?

Anyone can be a victim of identity theft, but some people are at a higher risk. Identity thieves and scammers target children due to their clean credit history. According to Javelin Strategy & Research, almost 1 million children in 2022 were ID theft victims. Children's personal information was frequently exposed in data breaches, with children under seven years old being the most likely to be the victims of ID theft.

How many victims of identity theft are there in the U.S.?

In 2021, around 23.9 million people identified themselves as victims of identity theft. The FTC received over 1 million reports of identity theft in 2023, which may be lower than actual incidences due to underreporting. 

Why is identity theft underreported?

Victims of identity theft may choose not to report to a law enforcement agency for many reasons. Some will not share details about the incident because they have not suffered a financial loss or believe their victimization was not significant enough. Others may not realize that they can report the crime or do not think that law enforcement can do anything to help them.

Sources

"As Nationwide Fraud Losses Top $10 Billion in 2023, FTC Steps Up Efforts to Protect the Public." Federal Trade Commission. Evaluated April 14, 2024.

"Consumer Sentinel Network Data Book 2023." Federal Trade Commission. Evaluated April 14, 2024.

Harrell, E., & Thompson, A. "Victims of Identity Theft, 2021." Bureau of Justice Statistics. Evaluated April 14, 2024.

"1.7 million U.S. Children Fell Victim to Data Breaches, According to Javelin's 2022 Child Identity Fraud Study." Javelin Strategy & Research. Evaluated on April 16, 2024.

"What are some common types of scams?" Consumer Financial Protection Bureau. Evaluated April 14, 2024.

Irvin-Erickson, Y. "Identity fraud victimization: a critical review of the literature of the past two decades." Crime Science Journal. Evaluated April 16, 2024.