The Federal Trade Commission has recently released a report stating that fraud has been increasing at a drastic rate over the last year. The report also mentioned that consumers calling the FTC have reported losses totaling $5.8 billion in fraud just last year. This is a 70% increase from the numbers in 2020.
With an average amount loss totaling between $500 to $1,000 per person, consumer fraud is increasing at an alarming rate. Many of the ways people are being frauded is through imposter scams like prizes, lotteries, and sweepstakes as well as internet services, and job opportunities including investment scams. In 2021 alone, 2.8 million consumers had filed a report for fraud to the FTC; this is the highest number since 2001.
Next to consumer fraud, identify theft is on the rise, too. The FTC has noted that identity theft leaves consumers having problems with the credit bureau, banks, and lenders. Consumers are also reporting to the FTC that credit reporting companies have not been doing more in terms of investigating disputed information.
The worst area of fraud over the past two years has been centered around the pandemic. Both the FTC and state agencies reported that since the pandemic, COVID fraud has plagued consumers. Government agencies have also pointed out that another rising issue is in the marketing and selling of fake health products. Scams such as selling fake hand sanitizers and N95 masks get consumers once they put in their credit card information. Criminals then take that information and file for unemployment benefits.
If you have been a part of a fraudulent scam or a victim of identity theft, you have legal options. Contact Shub Law Firm at (856) 772-7200 or email us at email@example.com.