Social media is now America’s most expensive scam hotspot. According to the Federal Trade Commission (FTC), consumers reported $2.1 billion in losses from platform-based fraud in 2025, a number that has grown eightfold in five years. Nearly one in three fraud victims said the con started on a social platform.
Why is Facebook such a big target?
Facebook stood out as the biggest source of reported losses. The FTC said scams that started on Facebook led to higher losses than those originating on any other social media platform, with WhatsApp and Instagram well behind. Losses linked to Facebook-originated scams also exceeded those tied to schemes that began via text messages or email.
The pattern is especially concerning because Facebook remains one of the most widely used platforms among adults. Its broad reach across age groups gives scammers a large pool of potential targets, including older users who may rely on the platform to stay connected with family, community groups, local sellers, and old friends.
The FTC said scammers use social media’s own design to their advantage. They can buy targeted ads, study public posts, impersonate brands, hack accounts, or pose as people who seem familiar. A fake shopping ad can lead to a copied retail site. A friendly message can become an investment pitch. A romance scam can begin with a profile check and later turn into a fake emergency.
How are these scams reaching users?
Investment scams caused the biggest losses, with $1.1 billion reported in 2025. Many began with ads, posts, or WhatsApp groups showing fake success stories. Shopping scams were the most commonly reported, with victims often buying products from social ads that never arrived. Romance scams also grew through social platforms, with nearly 60% of reported romance scam losses starting there.
With AI tools making fake messages, images, voices, and profiles harder to spot, social media scams could become more convincing in the future. For now, the FTC advises users to keep profiles private, avoid investment advice from online-only contacts, and search a company’s name with “scam” or “complaint” before buying from social media ads.