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Uncovering hidden fraud trends in 2025: The rise of job scams and data exploitation



In the ever-evolving world of cybercrime, 2025 has brought a sharp focus to a once-overlooked threat: job scams. While investment and imposter scams continue to dominate headlines, a quieter but equally dangerous fraud trend is emerging—one that not only drains victims financially but also harvests their personal data for more insidious purposes.

According to the Federal Trade Commission (FTC), job scams are now among the fastest-growing fraud typologies, with losses skyrocketing from $90 million in 2020 to over $501 million in 2024.




The bigger picture: fraud losses surge

The FTC’s 2025 report paints a sobering picture: consumers reported over $12.5 billion in fraud losses in 2024, a 25% increase from the previous year. While investment scams led the pack at $5.7 billion, job and employment agency scams saw dramatic growth. Reports in this category tripled between 2020 and 2024, signalling a shift in fraudster tactics toward more personalized and data-driven schemes.




What makes job scams dangerous?

Unlike traditional scams that aim for a quick financial hit, job scams are designed to extract sensitive personal information under the guise of employment. These scams can begin with a seemingly legitimate job posting—frequently for remote work—on popular job boards or social media platforms. Victims are lured in with promises of high pay, flexible hours, and minimal qualification requirements.

Once engaged, scammers may conduct fake interviews, send professional-looking offer letters, and request personal details such as:

  • Social Security numbers
  • Bank account information
  • Copies of IDs or passports
  • Payments for “training materials” or “equipment”

This data is then used for different purposes, including identity theft and synthetic identity creation.




Identity theft and synthetic identities: a dual threat

The FTC received over 1.1 million reports of identity theft in 2024, making it one of the top categories of consumer complaints. Once scammers have access to a victim’s personal data, they can open credit accounts, apply for loans, or even file fraudulent tax returns.

More troubling is the rise of synthetic identity fraud, where real and fake information are blended to create entirely new personas. For example, a scammer might use a real Social Security number with a fictitious name and address to build a credit profile. These synthetic identities can be harder to detect and can be used to commit long-term fraud, often going unnoticed for months or even years.




The role of AI in fraud evolution

As artificial intelligence (AI) becomes more accessible, fraudsters are leveraging it to scale their operations. AI tools can now generate convincing resumes, simulate human-like conversations during interviews. This technological edge can make job scams more believable and harder for prevention and enforcement teams to detect.

As AI is being used to manage and manipulate stolen data, it’s also enabling fraudsters to automate the creation of synthetic identities and bypass traditional fraud detection systems. This convergence of AI and cybercrime is, of course, a concern.




Who is most at risk?

While anyone can fall victim to a job scam, certain groups are more vulnerable:

  • Young adults (ages 20–29)*: This demographic reported the highest number of fraud incidents, often due to their active job-seeking status and comfort with online platforms.
  • Older adults (70+)*: Though they report fewer incidents, their median losses are significantly higher—up to $1,650 per scam.
  • Remote job seekers: The post-pandemic shift to remote work has created fertile ground for scammers to exploit job seekers looking for flexible opportunities.

*Data from KPMG report “Fraud, Identity Theft, and other Scams”




A risk for Financial Institutions

Financial institutions, job platforms, and cybersecurity firms can also help in the fight against fraud. Enhanced fraud detection systems, better user education for organizations and the public, and stricter verification processes for job postings may help curb the spread of job scams.

Collaboration between public and private sectors is also essential to stay ahead of increasingly sophisticated fraud tactics.




Conclusion

The rise of job scams in 2025 is a reminder that fraud is no longer just about stealing money—it’s about stealing identities, trust, and security.

As scams evolve, so must defences. By staying informed, vigilant, and proactive, individuals and institutions can help uncover these hidden fraud trends—and take action to counter them.




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