Beyond Romance Scams: Business Imposter Frauds Are Now the Top Threat to Seniors

While romance scams and government impersonations often grab headlines, a deeper dive into recent data reveals that business imposter scams have emerged as the most prevalent and financially damaging threat to older Americans across most states

"There were 845,806 imposter scam reports to Sentinel. Twenty-two percent of those reported a dollar loss, totaling $2.95 billion lost to imposter scams in 2024. These scams include people falsely claiming to be a romantic interest, the government, a relative in distress, a well-known business, or a technical support expert to get a consumer's money."

. These scams involve fraudsters posing as familiar companies, tech support, or financial institutions to trick seniors out of their money. In 2025 alone, imposter scams collectively cost consumers an estimated $3.5 billion, with reported losses nearly tripling since 2020

"New data from the Federal Trade Commission reveal that people reported losing a staggering $3.5 billion to imposter scams in 2025, with reported losses increasing nearly three times since 2020."

. The Federal Trade Commission notes that these schemes encompass a wide range of impersonations, including well-known businesses and technical support services

"There were 845,806 imposter scam reports to Sentinel. Twenty-two percent of those reported a dollar loss, totaling $2.95 billion lost to imposter scams in 2024. These scams include people falsely claiming to be a romantic interest, the government, a relative in distress, a well-known business, or a technical support expert to get a consumer's money."

. This trend underscores a critical need for targeted awareness, moving beyond general warnings to address the specific tactics employed by business imposters, which are proving more devastating than previously understood [c2, c3].

The narrative surrounding elder fraud has often centered on romance scams or government impersonators. However, the latest data paints a different picture. Business imposter scams, where perpetrators falsely claim affiliation with legitimate companies, are now the leading cause of financial loss for seniors in many states. The Federal Trade Commission reported that imposter scams as a whole generated $3.5 billion in reported losses in 2025, a staggering increase from previous years

"New data from the Federal Trade Commission reveal that people reported losing a staggering $3.5 billion to imposter scams in 2025, with reported losses increasing nearly three times since 2020."

. This category includes impersonations of everything from well-known retailers to tech support services, highlighting a broad spectrum of deceptive practices

"There were 845,806 imposter scam reports to Sentinel. Twenty-two percent of those reported a dollar loss, totaling $2.95 billion lost to imposter scams in 2024. These scams include people falsely claiming to be a romantic interest, the government, a relative in distress, a well-known business, or a technical support expert to get a consumer's money."

. The Senate Aging Committee has been actively seeking solutions, including promoting financial literacy to equip seniors with better defenses

During today’s hearing, Chairman @SenRickScott announced his NEW bipartisan Financial Literacy Booklet that ensures America’s seniors have the information they need to fight against fraud and prepare for retirement.

— Senate Aging Committee link

.

The financial toll of business imposter scams is immense. In 2024, imposter scams alone accounted for $2.95 billion in reported losses, with over 845,000 reports filed with the FTC's Sentinel system

"There were 845,806 imposter scam reports to Sentinel. Twenty-two percent of those reported a dollar loss, totaling $2.95 billion lost to imposter scams in 2024. These scams include people falsely claiming to be a romantic interest, the government, a relative in distress, a well-known business, or a technical support expert to get a consumer's money."

. While specific state-level breakdowns are still emerging, preliminary data from Illinois suggests that business imposters generated $28.5 million in losses from 12,018 reports in 2025, a significant figure that requires attention

"The Illinois subcategory data puts dollar figures on this. In 2025, the 'Miscellaneous Investments and Investment Advice' subcategory had just 2,929 reports from Illinois consumers but accounted for $175.9 million in losses... Government impostors generated 15,782 reports and $30.2 million, business impostors added 12,018 reports and $28.5 million..."

. The U.S. Department of Justice's annual report to Congress on combating elder abuse underscores the severity of the problem, with government agencies working to protect Americans, particularly seniors, from financial exploitation [c2, c3].

Understanding that business imposters are the top threat is crucial, but the problem's nuances vary by state. While general warnings about scams are always relevant, the Empowering States to Protect Seniors from Bad Actors Act, a bipartisan bill passed by the House, aims to create grant programs at the SEC to fund state-level initiatives against fraudsters

We voted YES on the Empowering States to Protect Seniors from Bad Actors Act. This bipartisan bill establishes a grant program at the Securities and Exchange Commission to fund state-level efforts to protect older adults from bad actors looking to take advantage of them. States…

— Rep. Nancy Mace link

. This recognition of state-level variations is vital. Instead of a one-size-fits-all approach, resources and awareness campaigns need to be tailored to address the specific business impersonation tactics prevalent in different regions, ensuring seniors receive the most relevant and effective guidance.