In addition to experiencing long-term financial consequences, victims of financial crimes often experience negative effects on their mental health, physical health and personal relationships.
Financial fraud happens when someone deprives you of your money, capital, or otherwise harms your financial health through deceptive, misleading, or other illegal practices. This can be done through a variety of methods such as identity theft or investment fraud.
In 2022, investment fraud caused the highest losses of any scam reported by the public to the FBI’s Internet Crimes Complaint Center (IC3), totaling $3.31 billion, most of which involved cryptocurrency, including pig butchering. And according to the FTC, in 2022, nearly 70,000 people reported a romance scam, and reported losses hit a staggering $1.3 billion.
Common feelings & symptoms can include:
- Betrayal
- Powerlessness
- Lack of control
- Vulnerability
- Negative appraisal of self
- Reduced self-esteem and confidence
- Perceiving self as a failure or weak
- Difficulty focusing or feeling scattered
- Social withdrawal
- Anxiety
- Depression
- Self-injurious behavior
Termonology
Types of Financial Fraud
Identity Theft, Investment Fraud (including Ponzi or Pump & Dump schemes), Mass Marketing Fraud, Romance Scams, and Pig Butchering
Definition
What is it?
Financial fraud happens when someone deprives you of your money, capital, or otherwise harms your financial health through deceptive, misleading, or other illegal practice.
Consequences
Negative Impact
Long-term financial consequences as well as negative effects on victim’s mental health, physical health and personal relationships.
