May 7, 2026
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As technology becomes more sophisticated, especially with the advent and advancement of generative AI, scammers are now able to con everyday citizens out of their hard-earned money more easily and successfully.
As such, Canadians lost a staggering $704 million in fraud in 2025, according to the Canadian Anti-Fraud Centre (CAFC) (1) — the most of any year on record.
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What makes it worse is that, according to Statistics Canada estimates, only 5% to 10% of fraud victims ever come forward. There is no requirement to report fraud, and many people don't, often due to embarrassment, stigma, or a lack of confidence in the process. As such, the true annual toll is likely far higher.
The 3 fraud types draining the most money from Canadians
According to the CAFC's 2025 data, investment fraud led the way, with total losses of $351 million, followed by relationship scams at over $63.3 million and job scams, which exceeded $50.6 million in total reported losses.
Investment scams often involve fake crypto platforms, fraudulent trading portals, or so-called "pig butchering" schemes, where scammers build trust over time before persuading victims to transfer large sums.
Romance or relationship scams start when a fraudster creates a fake online profile and builds a relationship with you over time, often through dating apps or social media. They gain your trust by communicating regularly and creating an emotional connection, sometimes over weeks or months. Eventually, they come up with a believable reason to ask for money, and once you send it, it's usually gone for good.
Meanwhile, a job scam involves scammers pretending to be recruiters or hiring managers, who present a fantastic professional opportunity, only to ask for money or personal information as part of the application process (2). These opportunities often require little experience, promise high wages and often don’t involve an interview — instead, the bad actor will try to coerce their victim into providing banking information to launder money.
One trend worth noting is that “smishing,” which refers to text message scams sent at scale via rogue cellular networks, has grown sharply. According to a CBC report (3), the CAFC attributes this partly to the rise of new AI-powered technologies that enable bulk attacks on thousands of devices.
Law enforcement is taking action. Just last month, the Toronto Police Service (TPS), in coordination with the RCMP, arrested three individuals (4) for suspected use of a sophisticated cybercrime device, known as an SMS blaster. According to the TPS, these technologies "highlight an emerging threat to both public safety and financial security."
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The problem with not reporting fraud
Underreporting is not simply a data problem; it has real-life consequences. When fraud goes unreported, it lowers the odds that scammers will be caught. And it means that policy decisions, from enforcement funding to public awareness, are based on incomplete information.
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The CAFC encourages every Canadian who suspects or confirms fraud or cybercrime to file a report online (5), even if you didn't lose any money. Every report adds to a national database that helps investigators connect cases across provinces and uncover larger criminal networks. What might seem like a small incident on its own could be a key piece of a much bigger puzzle.
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How to check if you've already been targeted
Many people don't realize they've been targeted until damage has already been done. Watch for unfamiliar transactions on your bank or credit card statements, unexpected credit inquiries on your credit report, new financial accounts you didn't open and emails or texts referencing financial details you never shared.
You can access free credit reports via platforms like Borrowell (6) and Credit Karma (7), or through Canada's primary major credit bureaus, Equifax (8) and TransUnion (9). Both bureaus also offer paid credit monitoring services that alert you in near-real time to changes in your file. If you believe you've been a victim, a fraud alert or credit freeze can prevent new accounts from being opened in your name without additional verification.
What banks and regulators can and can't do
The Financial Consumer Agency of Canada (FCAC) (10), a federal regulator responsible for protecting consumers, publishes guidance on fraud prevention and has pushed financial institutions to improve transaction monitoring. Meanwhile, Canada's major banks have invested in real-time fraud-detection systems, and many now offer features such as voluntary callback verification for large transfers.
What they can't do is protect a customer who voluntarily transfers money to a fraudster. In the industry, this is known as authorized push payment fraud. Once money leaves your account at your instruction, recovery is difficult and often impossible. This is a big reason why investment scams are so costly: victims believe they are making legitimate transfers.
What to do now
If you want to reduce your fraud risk or limit the damage if something has already happened, here are some steps you can take today:
- Turn on transaction alerts for every bank account, credit card and investment account you use
- If you've been targeted, place a fraud alert or credit freeze with both Equifax and TransUnion
- Report fraud to the CAFC online (11) or at 1-888-495-8501. Even if you didn't lose money, your report helps identify new patterns
- Obtain a free credit report through Equifax or TransUnion at least once a year
None of these steps is complicated, but together, they can significantly reduce your exposure and help catch problems early.
The bottom line
The $704 million lost in 2025 is the floor, not the ceiling. Because of underreporting, the CAFC's data captures only a fraction of what Canadians actually lost. Remember, the most expensive scams are often the ones that feel legitimate in the moment. Investment scams work because they build trust. Impersonation scams work because they borrow authority.
Your best defence is to be skeptical by default. If you receive an unexpected call, text, or email pushing you to act financially, don't respond right away, even if it appears to come from your bank, the CRA, or other government agency. Hang up, delete the message, and contact the organization directly using an official number. No legitimate institution will penalize you for taking a few minutes to verify.
Article sources
We rely only on vetted sources and credible third-party reporting. For details, see our editorial ethics and guidelines.
Canadian Anti-Fraud Centre (1); CIBC (2); CBC (3); Toronto Police Service (4); Government of Canada (5, 10, 11); Borrowell (6); Credit Karma (7); Equifax (8); TransUnion (9)
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Colin Graves is a Winnipeg-based financial writer and editor whose work has been featured in publications such as Time, MoneySense, MapleMoney, Retire Happy, The College Investor, and more. Before becoming a full-time writer, Colin was a bank manager for over 15 years.
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