Text Scams Explode: 250,000 Reports and $500 Million Lost

The Federal Trade Commission received nearly 250,000 reports of text scams last year, with Americans losing approximately $500 million to these scams. According to data from the FTC, the number of text scams has seen a significant spike since 2020, with the majority of these scams originating from employment opportunities that promise high-paying jobs with minimal work requirements. The people behind these scams often use tactics such as sending friendly messages with job offers that seem too good to be true, making it difficult for victims to distinguish between legitimate and fake opportunities. Jonquilyn Hill, host of the podcast Explain It to Me, notes that the individuals sending these texts are often victims themselves, caught up in a complex web of crime syndicates. "Those of us receiving the texts aren't the only victims of these crime syndicates," Hill said. "Oftentimes, the people sending these texts are also victims, who have been coerced or manipulated into participating in these scams." The rise of text scams can be attributed to the increasing use of mobile devices and the ease with which scammers can send large numbers of texts. According to Hill, the scammers often use automated systems to send these texts, making it difficult to track down the individuals responsible. "It's a cat-and-mouse game between law enforcement and these scammers," Hill said. "The scammers are always finding new ways to evade detection and continue their operations." The impact of text scams extends beyond financial losses, as victims often experience emotional distress and feelings of embarrassment. Hill emphasizes the importance of acknowledging the human cost of these scams, rather than simply viewing them as a financial issue. "We need to recognize that these scams are not just about money, but also about the emotional toll they take on individuals," Hill said. The FTC has taken steps to combat text scams, including increasing public awareness and working with law enforcement agencies to track down scammers. However, the fight against text scams remains an ongoing challenge, with new scams emerging every day. As Hill notes, "It's a never-ending battle, but one that requires our attention and action to protect individuals from these scams." In recent months, there have been reports of a new type of text scam, in which scammers use AI-generated voices to make calls and send texts that appear to be from legitimate companies. This development highlights the need for continued innovation and collaboration between law enforcement, technology companies, and individuals to stay ahead of these scammers. As the fight against text scams continues, it is essential to remain vigilant and take steps to protect ourselves from these scams. By understanding the tactics used by scammers and being aware of the warning signs, individuals can reduce their risk of falling victim to these scams.