UK Consumers Fall Victim to Facebook, Instagram Online Shopping Scams Every 7 Minutes: Study

UK Consumers Fall Victim to Facebook, Instagram Online Shopping Scams Every 7 Minutes: Study

Facebook and Instagram have emerged as hotbeds for online shopping scams affecting UK consumers, according to a recent study conducted by Lloyds Banking Group. 


In what has been described as the "wild west" for fraud, The Guardian details in a report that these social media platforms account for over two-thirds of such fraudulent activities, as unveiled by the research reported in The Guardian.


Purchase Scams Prevalent on Facebook and Instagram


Lloyds' estimates paint a concerning picture, revealing that a purchasing scam originating from either Facebook or Instagram ensnares a UK consumer every seven minutes, resulting in a tremendous cost of over £500,000 per week. 

Consequently, the banking group is now urging tech giants, including Meta, the parent company of both platforms, to take responsibility and contribute to refunding innocent victims of scams.


This development signifies a notable escalation in the tension between UK banks and tech firms, particularly Meta, which owns not only Facebook and Instagram but also WhatsApp. 


Similarly, the US FTC has reported that social media was once a preferred location for con artists. In 2021, more than 95,000 individuals reported losses of approximately $770 million due to fraud initiated on social media platforms.


Banking Institutions Against Social Media Scams


A few weeks ago, UK Finance, the banking industry body, accused social media companies of profiting from scams on their platforms and called for them to reimburse victims.


Criminals are taking advantage of the surging popularity of online shopping by offering nonexiste ..

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