Can You Guess the Age Group Most Vulnerable to Financial Fraud?

We tend to think of fraud as being an issue primarily impacting older people. And it is true the elderly are often the target of scammers. However, young people are more commonly impacted by fraud. Given the higher adoption rates of new technology among younger age groups, it really should not come as a surprise. These behaviors offer today’s scammer more opportunity. Combine that with the sense of invulnerability people tend to have when they are young, and you have a recipe for potential disaster. Let’s take a closer look…

Age-Based Vulnerabilities: Myth vs. Data

For years, conventional wisdom suggested older adults were the primary victims of financial fraud. However, research emphasizes a recurring finding in recent years: younger adults are losing money to fraud at rates that outpace those who are older, even as the "success" rate for scam artists (those where money is gained) is rising for all age groups.

Still, scammers are working to take advantage of online habits, social behaviors, finances, and psychology, all of which are affected by age. FTC data shows that in 2024, 44% of people ages 20 to 29 who reported fraud had financial losses, compared with 24% among those aged 70 to 79. Similarly, a 2024 PYMTS Intelligence and Featurespace study found that 83% of young adults were deceived at least once by a suspicious link in a message, with 39% of millennials and 36% of Gen Z reporting household losses to scams compared with only 19% of Baby Boomers and older adults.

Digital Natives, Digital Prey

While young people are often called “digital natives,” this familiarity with technology doesn't translate to some sort of scam immunity. A March 2025 study looking at Instagram users between 16 and 29 found that frequent social media use often leads to "quick, instinctive decisions instead of systematically evaluating risks," Jennifer Klütsch, one of its authors, told the Wall Street Journal.

The study also found younger people are both more likely to trust a sender they recognize without scrutinizing suspicious links and to make impulsive decisions driven by fear of missing out on social experiences. This vulnerability aligns all too well with scammers' tactics. Klütsch and her colleagues' work, building on previous research, found that messages from followers (versus non-followers) and messages offering social opportunities (compared with faux job or relationship prospects) substantially increased young people's susceptibility to phishing, where scammers impersonate legitimate senders in emails and texts.

"Social media is valued as a trusted and habitually-used environment, [and] its design makes it also inherently conducive to the effectiveness of [social engineering] attacks," Klütsch and her colleagues concluded.

Types of Scams Targeting the Young

Young adults face particular scams tailored to their digital habits and life stage:

• Employment scams: "We’re seeing a rise in job offer scams, where fake recruiters ask for training fees," Adeife said. Other common tactics include fake check schemes where victims deposit fraudulent checks and transfer money for "training" or "equipment."
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• Online purchase scams: Young bank customers are more than twice as likely to use credit cards to pay scammers as those over 40. The top products used include event tickets, salon services, jewelry, clothing, and eyewear.
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• Cryptocurrency scams: Cryptocurrency fraud is among the most remunerative for scam artists, with a "success" rate of 60% when targeting the young.
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• Social media scams: Social media platforms have become primary arenas for fraud targeting younger adults. “[Scammers] pose as influencers or friends, adding urgency with fake threats like ‘Your account will be closed,’” Adeife said. Since 69% of Gen Z claim to be "always connected" to the internet (compared with 32% of Baby Boomers), scammers have far more access to them than with other generations. In addition, on platforms like Instagram, messages from supposed followers can exploit users' trust in the platform itself.

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The bottom line? Regardless of age, it is vital you remain vigilant against potential scams. Fraud can impact any one at any time. Awareness and knowledge are powerful tools. So are your instincts. Use all the tools at your disposable to ensure you don’t fall prey to scammers!