Through the widespread growth of digital financial products, services and distribution channels, jurisdictions around the globe have witnessed a significant increase in the frequency and complexity of financial scams and frauds targeting consumers. Financial scams and frauds can cause significant financial harm to consumers who fall victim, and the risk of financial scams and frauds threatens to erode consumers’ public trust and confidence and undermine gains made in expanding access to financial services. As such, it is important for public authorities to understand the drivers of financial scams and frauds, the types of financial scams and frauds targeting consumers, and effective approaches to mitigate this risk. This chapter provides an overview of the policy context and presents the methodology of the report.
Protecting Consumers from Financial Scams and Frauds
Abstract
As the financial landscape evolves, with the widespread growth of digital financial products, services and distribution channels, jurisdictions around the globe have witnessed a significant increase in the frequency and complexity of financial scams and frauds targeting consumers. As noted in the OECD’s Consumer Finance Risk Monitor 2026, financial scams and frauds were ranked as the top risk facing financial consumers by responding jurisdictions (OECD, 2026[1]). Furthermore, 69% of responding jurisdictions noted that the reported incidence of financial scams and frauds increased in 2025 compared to 2024.
Many of these jurisdictions noted that the rise in the number of consumers falling victim to financial scams and frauds coincided with an increased use of mobile and digital financial services. As the volume of transactions has grown on online financial services platforms (Mihai, Iordache and Aleca, 2025[2]), these platforms have become an increasingly attractive target for fraudsters. Moreover, the total transaction value of digital payments is projected to reach over USD 26 trillion in 2026, and this is expected to grow at an annual rate of 7.6% over the next five years (Statista, 2026[3]). Furthermore, the increasing digitalisation of the financial sector has also affected the types of financial scams and frauds most frequently perpetrated. According to respondents, fraudsters are using ever more sophisticated forms of social engineering, which can be highly complex and personalised.
Financial scams and frauds cause significant financial harm to consumers who fall victim to them. Recent estimates suggest that consumers lost an estimated USD 442 billion in 2025 (Global Anti-Scam Alliance, 2025[4]). Furthermore, falling victim to financial scams or fraud is associated with lower financial well-being and confidence in financial matters (Brenner et al., 2020[5]). The risk of financial scams and frauds threatens to erode consumers’ public trust and confidence in the financial sector, and to undermine gains made in expanding access to financial services.
Reflecting these trends, protecting consumers from financial scams and frauds is a strategic priority for the OECD Working Group on Financial Consumer Protection, Education and Inclusion (WPFCPEI). Combatting scams and frauds, including through financial literacy, is also a priority of the US G20 Presidency in 2026.
The focus of this report is on how financial consumer protection and financial literacy/education can protect consumers from financial scams and frauds.
Financial consumer protection refers to the framework of laws, regulators and other measures designed to promote the fair and responsible treatment of consumers, and to prevent or mitigate harm arising from their purchase and use of financial products and services, as well as from their dealings with financial services providers. It also seeks to protect consumers from financial scams and frauds, which represent a significant source of consumer harm, and contributes to financial stability by recognising how financial consumer protection is a critical tool in mitigating systemic risk and financial crises.
The G20/OECD High-Level Principles on Financial Consumer Protection (“Financial Consumer Protection Principles”) are the international standard for comprehensive and effective financial consumer protection frameworks and are included in the Financial Stability Board Compendium of Standards [OECD/LEGAL/0394]. The Financial Consumer Protection Principles specifically cover protecting consumers from the risk of financial scams and frauds, through Principle 10 on the Protection of Consumer Assets Against Fraud, Scams and Misuse, as indicated in Figure 1.1. Additionally, the cross-cutting theme of digitalisation, which applies to each and all of the Financial Consumer Protection Principles, is relevant to this work, as the broader use and adoption of digital technologies has coincided with an increased incidence of financial scams and frauds in many places across the globe.
Note: Text in green denotes revisions made through the 2021-22 review and update of the High-Level Principles on Financial Consumer Protection.
Source: OECD (2022), “Recommendation of the Council on High-Level Principles on Financial Consumer Protection”, OECD Legal Instruments, OECD/LEGAL/0394, OECD, Paris, https://legalinstruments.oecd.org/en/instruments/OECD-LEGAL-0394.
Financial literacy (also called financial capability) is designed to equip consumers with the behaviours, skills and confidence to become more aware of financial risks and opportunities, make informed choices and know where to go for help. The OECD Recommendation on Financial Literacy (“Financial Literacy Recommendation”) is the international standard for effective financial literacy policies [OECD/LEGAL/0461]. As stated in the Financial Literacy Recommendation, the effective delivery of financial literacy programmes includes wide and targeted public awareness campaigns to inform the general public about important personal finance issues, including financial fraud. Additionally, the Financial Literacy Recommendation states that financial literacy for older adults and for vulnerable groups should include a focus on education that supports effective consumer protection efforts, including awareness of the changing landscape of fraud and scams. Furthermore, financial literacy is included among the Financial Consumer Protection Principles as part of a holistic financial consumer protection framework.
While the two policy spheres of financial consumer protection and financial literacy are the focus of this report, there are many other stakeholders for which this topic is relevant, including law enforcement agencies, telecommunications providers and regulators, utilities providers and regulators, as well as social media and online platforms. There is therefore a section of this report (Section 5) dedicated to collaboration and co-ordination across the anti-fraud ecosystem. Indeed, the active collaboration and co-ordination of resources across the anti-fraud ecosystem, including across telecommunications providers, social media and online platforms, and law enforcement agencies, is increasingly vital as financial scams and frauds are perpetrated through online channels via organised criminal networks which operate across borders.
The findings in this report are based on analysis of primary data collected from 69 jurisdictions (of which 26 are OECD Members), representing the perspectives of 102 public authorities, complemented by secondary data sources collected via desk research.
To facilitate primary data collection, the WPFCPEI developed a Questionnaire with inputs from an Expert Group of Delegates. The finalised questionnaire was distributed to Delegates of the WPFCPEI (i.e. representatives of G20 countries, OECD Members and Financial Stability Board (FSB) jurisdictions and relevant international organisations and standard setting bodies), as well as Members of the International Financial Consumer Protection Organisation (FinCoNet), the Association of Southeast Asian Nations (ASEAN), members of International Network on Financial Education (INFE), members of the International Organization of Securities Commissions (IOSCO) Committee 8 on Retail Investors and the International Association of Insurance Supervisors (IAIS) Market Conduct Working Group, Financial Inclusion Forum and Financial Crime Forum with an invitation to participate in the project.
The Questionnaire collected qualitative and quantitative data about the drivers of financial scams and frauds, the incidence and severity of financial scams and frauds over the past five years, and current financial consumer protection and financial education approaches being implemented or trialled.
Data collection took place between April and June 2025. A list of respondents to the Questionnaire can be found in Annex A. Selected examples from respondents are highlighted throughout the report for illustrative purposes. The inclusion of a particular selected example does not imply that the country or economy in question is the only jurisdiction where such an initiative has been introduced.
Table 1.1 presents definitions of five key terms used throughout this report.