UK Millennials Most Vulnerable to Bank Fraud, Study Says
British millennials are falling prey to financial scams more than any other age group. According to a study by Lloyd Bank, victims aged 18 to 34 are losing $3,177 on average, and scammers most often impersonate officials from banks, police, or HM Revenue and Customs offices.
Victims over 55 are hit the hardest, with an average $12,948 loss per scam, but they are also much less likely to be duped. Millennials lose more money, overall, even though they lose less per scam.
Lloyds says people in the 45-to-54 age group are three times as likely to fall for scams as those over 55. People in this age group are losing on average $4,317 per fraud.
According to Lloyds analysts, older people are less susceptible because they have more awareness and experience. Millennials are particularly vulnerable because of their overwhelming use of online banking.
“Anyone of any age can fall victim to a bank transfer scams, as fraudsters use increasingly sophisticated tactics – and people are losing life-changing sums of money every day as a result,” said Gareth Shaw, head of money content at consumer group Which. Shaw says all banks and payment providers should work on a new voluntary code that offers greater protection for customers and scam victims.
“Helping to keep our customers’ money safe is our number one priority,” said Paul Davis, fraud and financial director at Lloyd Bank. "Being a victim of fraud can have devastating effects not just on people’s finances, but also their lives. While we are working 24/7 behind the scenes to protect customers and millions of pounds have been frozen, every day fraudsters are trying to trick people into handing over their personal information like a PIN or password, or transferring cash.”
Lloyd’s report comes as the bank launches a media campaign that aims to further increase awareness and crack down on scams, including a TV ad that will start airing on September 2.
“Our new campaign will help people recognize the signs by reminding them that we will never call and ask them to move money to another account,” said Davis. “The more we all know about spotting scams, the safer we will all be.”
I have always thought of myself as a writer, but I began my career as a data operator with a large fintech firm. This position proved invaluable for learning how banks and other financial institutions operate. Daily correspondence with banking experts gave me insight into the systems and policies that power the economy. When I got the chance to translate my experience into words, I gladly joined the smart, enthusiastic Fortunly team.
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