A new report from Statistics Canada reveals that Canadians reported a staggering $16 billion in fraud losses between 2014 and 2019. The report, based on findings from the General Social Survey (GSS), allowed Canadians to self-report fraud for the first time in 2019.
According to the report, one in six people reported being a victim of fraud during the specified period. Of those affected, about 24 percent reported losing $1,000, while three percent reported losing $10,000. The median loss due to fraud during that time was $600.
The report highlights that the majority of Canadians believe fraud has increased in the country. This is particularly concerning as the Royal Canadian Mounted Police (RCMP) and the Canadian Anti-Fraud Centre (CAFC) have partnered to establish an Open Government Portal to increase transparency about the number of Canadians falling victim to scams. The RCMP reported that both 2021 and 2022 saw “historic” levels of reported losses to fraud, with $380 million lost in 2021 and $531 million lost in 2022.
The nature of fraud is evolving, with phone and email scams becoming more sophisticated. The Better Business Bureau (BBB) reported that the riskiest scam in Canada is now home improvement fraud, with the overall median dollar loss reaching $300 in 2022, up from $250 in 2021—a 20 percent increase.
Interestingly, fraud emerged as the most common crime reported by Canadians in the survey. Approximately 17 percent of the Canadian population, or five million people aged 15 years and older, reported being a victim of at least one fraud between 2014 and 2019. This number nearly doubled for the 12 months leading up to the GSS survey, with 7.8 percent of the Canadian population, or 2.5 million people aged 15 years and older, reporting being a victim of fraud.
Data from the BBB also showed that fraud cases are on the rise, with fraud cases increasing from 87,174 in 2011 to 168,483 in 2021. Fraud accounted for more than half (57 percent) of cybercrime cases in 2021.
The report also sheds light on how fraudsters obtain personal information from victims. Shockingly, 41 percent of victims were unaware that their personal information had been compromised. Of those who knew their information was obtained, 39 percent said that scammers cloned or copied their debit or credit card. Other methods included pirated personal emails (18 percent), information given by individuals (16 percent), and data leaks (10 percent).
Despite the prevalence of fraud, Canadians are taking measures to protect themselves. The report indicates that 95 percent of Canadians have taken some steps to guard against scams. These measures include regularly reviewing bank statements (83 percent), shredding mail, bills, or receipts (73 percent), and deleting suspicious emails (72 percent).
However, despite these efforts, 48 percent of respondents considered their personal information to be “somewhat well protected,” while 34 percent felt it was “not very well protected.”
Overall, the report highlights the significant impact of fraud in Canada and underscores the importance of vigilance and proactive measures to combat this pervasive issue.