Visoot Uthairam | Moment | Getty Images
The Covid pandemic fraud cost Americans $ 382 million, according to the Federal Trade Commission.
As of Tuesday, more than 217,000 people had filed a coronavirus fraud report with the agency since January 2020, according to federal data. The median loss was $ 330.
However, the losses were more distorted for seniors – $ 500 for 70-year-olds and $ 900 for 80-year-olds.
More from personal finance:
The IRS makes more people eligible for the $ 10,200 unemployment tax cut
Deferred tax savings can help you get a $ 1,400 incentive check
The deadline for subsidized health insurance has been extended until 15 August
The criminals used several ways to steal money from unsuspecting Americans, including financial aid-related offenses such as incentive checks and unemployment benefits, false treatment for Covid-19, and fraudulent charities.
“While people are scared of their health and finances, scam artists have a day on the ground,” Lucy Baker, a consumer advocate at US advocacy group PIRG, told CNBC.
The Office of Consumer Financial Protection filed 542,300 complaints related to the pandemic in 2020, an increase of 54% compared to 2019.
Americans have begun filing more than 3,000 complaints mentioning coronavirus keywords almost every month since April 2020, according to the Bureau, a federal agency that regulates financial actions that affect consumers.
“The pandemic was one of the most disruptive long-term events we will see in our lifetime,” said Dave Uejio, CFPB’s interim director. “It’s not surprising that the shock waves it sent across the planet were deeply felt in the consumer financial market.”
Credit and consumer reporting accounted for more than 58% of global complaints, followed by debt collection (15%), credit card (7%), checks or savings (6%) and mortgages ( 5%). Not all of these complaints were necessarily related to Covid.
Identity theft has also been a common problem in connection with unemployment benefits collected during the pandemic.
About 60,000 people reported identity theft to the FTC last year. The US Department of Labor on Monday launched a website for Americans whose personal data was stolen and used to claim fraudulent unemployment benefits.
Americans are also falling prey to scams involving the launch of Covid vaccines.
An “early access vaccine” scam was the most common cyber scam during the pandemic, according to Rublon, an online security firm. Con artists send emails, text messages and phone calls claiming to have access to a vaccine before official government sources.
The $ 382 million FTC figure probably underestimates the purpose of the fraud, as it is based on detailed consumer incidents. Many may have gone undeclared.
“We all need to be on guard,” Baker said. “Before clicking, first pause.
“Do your research and ask yourself if the website, email, text, direct message or call are legitimate,” she added. “Be careful to hand over your money or personal information.”