GRA · Financial Crime and Fraud Risk

Spatial financeWhere capital meets hazard, exposure and transition

Consumer scams

Scams persuade people to hand over money or details: investment and crypto scams, romance scams, impersonation of banks, police or public servants, and fake purchases. Social media, messaging and online advertising help scammers reach victims at scale, often from organised operations abroad. This page sets out how scams develop, how harm is measured, and which institutions decide on prevention and redress.

01Canvas

How the work runs.

Systems · around this subjectIllustrative

Alert triage and investigations

Consumer scams · Bank B monitoring · Today

  • Alerts today
    2207
  • Escalated to cases
    6pct of alerts
  • Open cases older than 30 days
    55Watch
  • Reports filed this month
    76Normal
Backlog above targetGRA · Financial Crime and Fraud Risk

Alert queue

  1. HRapid in-out through new accountsScenario TM-07 · score 991 h
  2. MTrade invoice price outlierScenario TB-03 · score 643 h
  3. MStructuring below thresholdScenario TM-02 · score 748 h
  4. LName match, sanctions listLikely false positive3 h

Counterparty network, case CS-9372

red: accounts under review

Case path

  1. Alertscenario
  2. Triageanalyst
  3. Investigatecase
  4. DecideMLRO
  5. Reportto FIU
  6. Feedbacktuning
Alert triage and investigations: the screen's structure, terms and states for Consumer scams.Example names and illustrative values; a design, not a record or a live system.

Fig.Alert triage and investigations: example names and illustrative values, not a record or a live system.

02The question

Consumer scams: how the risk develops.

Scam harm and protective controls. The dossier below sets out how the risk develops, what is measured, where the data come from, how it is modelled and who decides.

Mechanism

Manipulation beats controls

Scammers build trust and urgency so victims authorise payments themselves and override warnings. Technical controls designed for unauthorised fraud do not stop them.

Mechanism

Platforms carry the approach

Many scams begin with ads, social media posts, messages or dating profiles. Responsibilities of platforms, telecoms and banks are being redrawn.

Mechanism

Industrial scam operations

Organised compounds run scams at scale, sometimes using trafficked workers. Proceeds move quickly across borders, often through crypto-assets.

Mechanism

Harm goes beyond money

Victims suffer lasting financial, emotional and health effects. Under-reporting driven by shame and stigma hides the true scale.

03Exposure, loss and capital

What consumer scams means for exposure, loss and capital.

The exposure, loss, scenario and capital views a risk officer, supervisor or ministry of finance would ask for, with the frameworks they report against. Structures follow supervisory and actuarial practice. Values are illustrative: never prices, ratings or advice.

Transmission channels

How a shock in consumer scams reaches credit, market, underwriting, liquidity and operational risk, and feeds back.

Channel structure after the Basel Committee's work on climate-related risk drivers and transmission channels; links shown are typical paths, not estimated exposures.
NGFS climate scenarios · Network for Greening the Financial SystemIFRS S2 Climate-related Disclosures · ISSBTCFD recommendations · Financial Stability Board TCFDPrinciples for the effective management of climate-related financial risks · Basel Committee on Banking Supervision
04Indicators

What is measured, and how well.

Each indicator carries its unit, its cadence, the kind of source behind it and the evidence label a value would carry. No values are shown: a programme supplies them under its own authority.

IndicatorUnitCadenceSource typeLabel
Scam losses reportedcurrency per yearannualConsumer protection and police reportsREPORTED
Scam reports by contact methodcount by channelannualConsumer reporting dataREPORTED
Investment scam lossescurrencyannualRegulator and police dataREPORTED
Scam ads removed by platformscountperiodicPlatform transparency reportsDECLARED
Bank warnings shown before paymentcount or share of paymentsperiodicFirm dataDECLARED
Victim reimbursement outcomesshare reimbursedperiodicRegulator dataPublished statistics
05Sources

Where the evidence comes from.

Named public datasets and institutional records, each with its licence class. Sources by agreement are used only under their terms and never republished.

SourceWhat it givesLicence class
FTC Consumer Sentinel Network data bookReported fraud and scams in the United StatesPublic domain
FBI Internet Crime Complaint Center annual reportReported internet-enabled crimePublic domain
Australian Competition and Consumer Commission Targeting Scams reportScam losses and channels in AustraliaFree, Australian government terms
UNODC reports on scam centres in Southeast AsiaOrganised scam operations and trafficking linksFree, UN terms
Global Anti-Scam Alliance reportsCross-country scam surveysFree to read, terms to check
06Decisions

Who decides, and what the evidence serves.

Financial Crime and Fraud Risk prepares evidence. The decisions below are taken by the authorities named, under their own rules, and never by the platform.

Who decidesThe questionEvidence this page serves
Legislators and regulatorsHow responsibility for scam prevention and redress is sharedLoss data, reimbursement outcomes and comparative laws
Banks and payment firmsWhich warnings, delays and checks to applyScam patterns and customer outcome evidence
Platforms and telecomsHow to block scam ads, messages and callsTakedown data and regulatory duties
Law enforcementHow to disrupt cross-border scam operationsIntelligence and international cooperation

Outputs this topic produces

  • Guide to scam types and how they bypass payment controls
  • Comparative notes on shared responsibility across banks, platforms and telecoms
  • Brief on warnings and friction at the point of payment
  • Questions for boards on scam prevention
07Core questions

What experts ask.

Scam researchers ask how to protect people from being persuaded to harm themselves.

  • Who is targeted by scams, and what makes people vulnerable at particular moments?
  • How do scams use psychology, such as urgency, authority and trust, to persuade victims?
  • Which interventions, such as warnings, delays or confirmation of payee, reduce losses?
  • How can telecoms, online platforms and financial institutions share responsibility?
  • How are victims supported, and how are reimbursement and redress handled?
08Mechanisms and drivers

Persuasion across platforms.

Scams exploit normal psychology: trust in authority, fear of loss, hope of gain, loneliness and the pressure of urgency. Anyone can be deceived, though vulnerability increases with isolation, bereavement, financial stress and unfamiliarity with digital services. Scammers use spoofed calls, fake websites, social media advertising and messaging apps to reach victims at scale.

Because victims authorise payments, traditional fraud controls may not trigger. Effective protection combines interventions at several points: blocking scam calls and ads, warnings and friction at the moment of payment, detection of mule accounts and support for victims. Responsibility across sectors is increasingly debated, since the financial system is often the last point of contact rather than the first.

09Methods and data

How the evidence is built, and where it stops.

  1. 01

    Victim research

    Surveys and interviews on scam experiences, drawing on behavioural science. Under-reporting is significant.

  2. 02

    Intervention evaluation

    Testing warnings and friction. Effects vary and may wane.

  3. 03

    Cross-sector analysis

    Mapping where scams originate with network science. Data spans sectors with different rules.

  4. 04

    Typology research

    Describing scam methods, including those using AI-generated content. Must avoid enabling crime.

11Questions

Questions and answers.

Why don't payment controls stop scams?
Because scam victims authorise the payment themselves, often after being coached to ignore warnings, so controls designed to stop unauthorised transactions do not apply.
Who is responsible for scam losses?
It depends on the jurisdiction. Some require payment firms to reimburse victims in many cases; others place more weight on platforms, telecoms or victims themselves.
Where should a scam victim go for help?
To their bank or payment provider and the national police or fraud reporting service. This platform does not handle cases.
What should I do if I have been scammed?
Contact your bank or payment provider immediately and report the scam to the police or national fraud reporting service. GRA cannot act on individual cases.
Are only older people targeted?
No. People of all ages are scammed. Different scams target different groups, and vulnerability often depends on circumstances rather than age alone.
Why involve telecoms and platforms?
Because many scams begin on phone networks, messaging apps and online platforms. Protecting people effectively requires action where scams start, not only where money moves.
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