Financial Fraud and Fraud Susceptibility in the United States

Contribution: 
Online Resource
Keywords: 
susceptibility to persuasion
report
victimisation survey
investment fraud
psychology of fraud
.
Reference: 
FINRA Investor Education Foundation. (2013). Financial Fraud and Fraud Susceptibility in the United States: Research Report from a 2012 National Survey (F. F. R. Center, Trans.) (pp. 42). Stanford, CA: Stanford Center on Longevity.
Attachment: 
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Summary / Abstract: 

Note. Amongst other things, they did FFM on victims of financial fraud. This is similar to DM's work for IAREP 2011 (preparing for publication).

Abstract: This research report presents finding from a 2012 national survey prepared for the FINRA Investor Education Foundation by Applied Research & Consulting, LLC. Key findings include:
The ubiquity of fraud solicitations coupled with the inability of many people to recognize the red flags of fraud place a large number of Americans at risk of losing money to scams.
More than 8 in 10 respondents were solicited to participate in a potentially fraudulent offer, and 11% of respondents lost a significant amount of money after participating in such offers.
Americans 65 and older are more likely to be targeted by fraudsters and more likely to lose money once targeted.
Older respondents were 34% more likely to have lost money than respondents in their 40s.
The inability of researchers and policy makers to get an accurate measure of financial fraud constrains our understanding of the problem.
Although 11% of respondents lost money in likely fraudulent activity, only 4% admitted to being a victim of fraud when asked directly—an estimated under-reporting rate of over 60%.

URL: http://fraudresearchcenter.org/2013/09/financial-fraud-and-fraud-susceptibility-in-the-united-states-research-report-from-a-2012-national-survey/