Americans experienced losses amounting to $2.1 billion due to social media scams in 2025, as revealed by a new report from the U.S. Federal Trade Commission (FTC). The report indicates an eightfold increase in losses resulting from social media scams, which have surpassed all other scam methods in terms of consumer losses.
According to the data, approximately 30% of individuals who reported financial losses from scams indicated that the fraudulent activity originated on social media platforms. Facebook was the primary platform where users reported losing the most money, followed by WhatsApp and Instagram. In fact, scam-related losses on Facebook alone exceeded those reported for text or email scams.
The FTC’s findings highlight various types of social media scams, with shopping scams being the most prevalent in the previous year. Over 40% of individuals who were scammed through social media cited purchasing items they encountered in ads, such as clothing, cosmetics, car parts, and even puppies. These ads frequently directed users to unfamiliar websites or to fake sites of well-known brands promoting significant discounts.
Investment schemes represent another widespread social media scam, often starting with ads or posts offering investment lessons. Some scammers impersonate friendly advisors or create WhatsApp groups filled with fake testimonials, leading to $1.1 billion in losses from investment scams.
Furthermore, in 2025, almost 60% of those who fell victim to romance scams reported that they began on social media. Scammers typically customize their approach to match an individual’s profile, then fabricate a crisis necessitating financial assistance or casually provide investment advice to ensnare victims on fraudulent investment platforms.
To safeguard against social media scams, the FTC recommends users restrict who can view their posts and contacts, avoid allowing online acquaintances to guide their investment decisions, and diligently verify products before making purchases by researching the company and searching for terms like “scam” or “complaint” alongside the product or brand name.