Protect Yourself From Fraud

Toronto Police and its fraud-fighting partners revealed the five most damaging frauds and scams to arm people with knowledge during Fraud Prevention Month in March.

“Fraud impacts thousands of individuals and businesses here in Toronto every year, leading to significant financial losses, eroding trust and impacting lives,” said Financial Crimes Detective Dave Coffey at a news conference at police headquarters on March 5. “With scams becoming more sophisticated and the digital landscape constantly evolving, knowledge is our best defence.”

Last year, Toronto Police received 16,743 fraud reports, with losses exceeding $368.6 million.

“Due to shame, embarrassment and other reasons, fraud is vastly underreported, and we believe the actual numbers to be 10 to 20 times higher,” Coffey noted.

The Top Five Frauds:

• Account Takeovers (Gaining access to user accounts)
• Identify Thefts (Assuming a person’s identity)
• Confidence (Befriending a victim)
• Cryptocurrency (Soliciting investments in cryptocurrency)
• Online Investment (Posing as legimate investment opportunities)

Coffey said online investment scams, which account for $71.2 million in losses, are the most damaging.

“It often begins as a romance scam, initiating contact through phishing texts and emails, creating fake profiles on dating sites or social media and then building trust and fostering relationships over weeks or months,” he said. “Once trust is established, the scammers subtly introduce an investment opportunity. Victims, enticed by the lure of financial gains, end up transferring funds to the scammers.

“Once a victim invests, they may show fake profits to encourage more deposits. But when you try to withdraw your money, they disappear along with your money.”

No one, added Coffey, is immune to being scammed.

“However, by staying informed and speaking up, we can all play a role in preventing fraud and protecting our communities,” he said. “Our goal is always to encourage residents to recognize, reject and report fraud. Throughout the month, we will collaborate with our partners across government, law enforcement and the private sector to provide Canadians with the tools, resources and information they need to protect themselves against fraud.”

You can learn more about how to report and protect yourself from financial scams at www.tps.ca/fraud.

Canadian Anti-Fraud Centre (CAFC) data shows that Canadians lost $638 million to fraud in 2024.

“This is only the tip of the iceberg,” said Jeff Horncastle of the CAFC. “We estimate that only five to 10 percent of victims report to the centre.”

Royal Canadian Mounted Police Director Chris Lynam said fraud is often elusive and hard to spot, making awareness and vigilance the best defences.

“The Canadian Anti-Fraud Centre is committed to supporting its policing partners in exposing fraud, empowering Canadians with knowledge and protecting Canada’s economic integrity,” said the CAFC member. “This Fraud Prevention Month, we encourage everyone to recognize the signs of fraud, reject suspicious requests and report to help prevent others from becoming victims.”

Josephine Palumbo, the Deputy Commissioner of the Deceptive Marketing Practices Directorate, said the Fraud Prevention Month campaign goal is to equip Canadians and businesses with the knowledge to recognize, reject and report fraud.

“As scammers get smarter, Canadians and businesses need to stay informed and join the fight against fraud,” she added. “By recognizing the warning signs of fraud and reporting it to the authorities, we can help protect ourselves, our loved ones and our communities.”