Mar 25, 2025

the Fraud Cycle Javelin’s 22nd Annual Identity Fraud Study Reveals 7 in 10 Scam Victims Were Deceived into Providing the Scammer with Personal Information, Increasing Their Risk of Future Attacks March 25, 2025 10:10 ET Javelin Strategy & Research SAN FRANCISCO, March 25, 2025 (GLOBE NEWSWIRE) -- Today, Javelin Strategy & Research, part of the Escalent Group, published the 22nd edition of its landmark Identity Fraud Study, titled “ Breaking Barriers to Innovation ”. This year’s findings reveal a dangerous shift in fraud tactics—scammers are no longer just after quick cash; they also want information. By seeking personally identifiable information (PII), scammers can exploit victims long after the initial scam, either by opening new fraudulent accounts, taking over existing financial or non-financial accounts, using the information to commit additional scams, or selling their data to other bad actors. These attacks not only affect individual consumers but also affect financial institutions and the entire fraud landscape. The more information these attackers have, the easier it is to quickly conduct large scale fraud attacks. The scale of this deception is alarming: 7 in 10 victims who lost money to a scam were also tricked into handing over PII, unwittingly fueling a cycle of fraud. The top pieces of information stolen—email addresses (43%), phone numbers (38%), and banking details (28%)—may seem harmless to share, but serve as digital keys to financial and non-financial accounts. Many consumers fail to realize that something as simple as an email address can provide fraudsters with a gateway to multiple accounts, increasing the risk of ongoing identity theft and financial loss. “Fraud professionals must start thinking beyond the existing regulatory and privacy restrictions, and start envisioning future possibilities,” says Jennifer Pitt, senior analyst in Javelin's Fraud & Security practice and the report’s author. “The traditional mindset focuses on short-term risks, but real innovation comes from looking ahead and developing future-ready solutions. This means strengthening fraud detection, enhancing identity verification, fostering greater collaboration across industries, and employing advanced technology to disrupt fraud before it happens.” Javelin’s Identity Fraud Study continues to set the standard for identity fraud research, thanks to the support of industry leaders committed to fraud prevention. This year’s sponsors include AARP, TransUnion, Plaid, BioCatch, Mitek, and Sigma Loyalty Group whose expertise and innovation help drive forward the fight against fraud. Other highlights from this year’s report: Fraud and scam losses surged to $47 billion, up $4 billion from the prior year, affecting 40 million victims—1 million more than in 2023. Identity fraud accounted for $27 billion in losses across 18 million victims, while scams led to $20 billion in losses affecting 22 million victims. 54% of consumers saw more unusual text messages, 47% more emails with suspicious links, 44% more robo-calls, and 42% more emails with suspicious attachments. 39% of account takeover fraud victims had their checking accounts compromised, and 23% had their email accounts taken over. 12% of fraud victims didn’t report their incident to anyone. Among them, 22% believed nothing could be done, and 22% didn’t know where or how to report it. Pitt advises fraud and cyber security professionals to help consumers slow down and think before they act. “Fraud and cybersecurity professionals must push a “verify, then maybe trust” mindset, which will essentially help consumers to pause before taking an action (like clicking a link or providing information).” Javelin’s Identity Fraud Study is an essential guide to understanding the financial impact and emotional devastation caused by identity fraud in the United States. The online survey of 5,000 U.S. adults is conducted every autumn and publishes the following spring. To learn more about identity fraud trends or speak with the report’s author, contact Marketing Coordinator  Allison Bondi . About Javelin Strategy & Research Javelin Strategy & Research , part of the  Escalent Group , helps its clients make informed decisions in a digital financial world. It provides strategic insights to financial institutions including banks, credit unions, brokerages and insurers, as well as payments companies, technology providers, fintechs and government agencies. Javelin’s independent insights result from a rigorous research process that assesses consumers, businesses, providers, and the transactions ecosystem. It conducts in-depth primary research studies to pinpoint dynamic risks and opportunities in digital banking, payments, fraud & security, lending, and wealth management. Learn more at  javelinstrategy.com . PLATINUM SPONSORS AARP AARP is the nation's largest nonprofit, nonpartisan organization dedicated to empowering Americans 50 and older to choose how they live as they age. With a nationwide presence, AARP strengthens communities and advocates for what matters most to the more than 100 million Americans 50-plus and their families: health security, financial stability and personal fulfillment. AARP also works for individuals in the marketplace by sparking new solutions and allowing carefully chosen, high-quality products and services to carry the AARP name. As a trusted source for news and information, AARP produces the nation's largest circulation publications, AARP The Magazine and AARP Bulletin. To learn more, visit  www.aarp.org/about-aarp/ ,  www.aarp.org/español  or follow @AARP, @AARPenEspañol and @AARPadvocates on social media. TransUnion TransUnion is an information and insights company that has been enabling trust in commerce for over 50 years. Originally established as a credit reporting agency, TransUnion has expanded its capabilities to include fraud prevention, marketing, and customer-driven analytics. The company's mission is to provide a holistic picture of each consumer, leveraging a collection of online, offline, public, and proprietary information to create an actionable view of individuals. GOLD SPONSOR Plaid Plaid is a global data network that powers the tools millions of people rely on to live healthier financial lives. Our ambition is to facilitate a more inclusive, competitive, and mutually beneficial financial system by simplifying payments, revolutionizing lending, and leading the fight against fraud. Plaid works with thousands of companies, including fintechs like Venmo and SoFi, several Fortune 500 companies, and many of the largest banks to empower people with more choice and control over how they manage their money. Headquartered in San Francisco, Plaid’s network spans over 12,000 institutions across the U.S., Canada, U.K., and Europe. SILVER SPONSORS BioCatch BioCatch stands at the forefront of digital fraud detection, pioneering behavioral intelligence grounded in advanced cognitive science and machine learning. BioCatch analyzes thousands of user interactions to support a digital banking environment where identity, trust, and ease coexist. Today, more than 250 financial institutions, including 34 of the world's largest 100 banks, rely on BioCatch Connect™ to combat fraud, facilitate digital transformation, and grow customer relationships. BioCatch's Client Innovation Board – an industry-led initiative featuring American Express, Barclays, Citi Ventures, HSBC, and National Australia Bank – collaborates to pioneer creative and innovative ways to leverage customer relationships for fraud prevention. With more than a decade of data analysis, 93 registered patents, and unmatched expertise, BioCatch continues to lead innovation to address future challenges. For more information, visit  www.biocatch.com . Mitek Mitek is a global leader in digital access, founded to bridge the physical and digital worlds. Mitek’s advanced identity verification technologies and global platform make digital access faster and more secure than ever, providing companies new levels of control, deployment ease and operation, while protecting the entire customer journey. With solutions trusted by 7,900 organizations around the world, including the majority of North American financial institutions which rely on our mobile check deposit solutions, Mitek helps companies reduce risk and meet regulatory requirements. Learn more at www.miteksystems.com . BRONZE SPONSOR Sigma Loyalty Group Sigma Loyalty Group is a leader in Identity Protection Solutions. With unique technology, expertise and continued innovation, we help financial institutions offer identity theft protection to their customers and reassure their peace of mind. Your customers shouldn’t have to worry about protecting their identity. With our turnkey and customizable solutions, they won’t have to. Learn more at http://sigmaloyaltygroup.com/ .