Why Young Adults Fall for Scams

In today's tech-driven world, young adults have boundless opportunities as they harness the power of the internet. However, this also comes with great danger as scammers are laying traps for the unsuspecting Gen Z and Millenials. Gone are the days when scams were targeting the older population. Nowadays, more young adults are burned by criminals camouflaged in the virtual shadows of the internet, luring them with promises of easy money and exciting adventures.

In a recent Global State of Scam 2023 Report, it was revealed that an increasing number of young people, especially in the global south, are falling victim to scams. But what's causing this rise in scams? Surprisingly, despite their significant education, young adults exhibit traits of overconfidence and eagerness, making them more vulnerable to get-rich-quick schemes.

Read on as we discuss all about why young adults are falling for scams and how they can protect themselves.

5 Reasons Why Young People Lose Money to Scams

Make no mistake, scams are a menace that affects people of all ages, but it's often the younger generation that falls victim to them. A study by Social Catfish revealed that from 2017-2022, the amount lost to scams by Gen Z grew by a mind-blowing 2500%. Here are some of the reasons why young adults fall for scams;

Overconfidence

Interstingly, young adults, who have grown up in the era of computers and the internet, often consider themselves tech-savvy. Many confidently declare, "I can never be scammed." However, it is precisely this self-assured attitude that scammers exploit, resulting in a rising number of young adults falling victim to scams.

Being tech-savvy or exposed to scam awareness does not scam-proof your life. Instead, it makes you let your guard down which makes it easier for scammers to attack. Young adults, thus, should be more weary of scammers and use their cyber skills to protect themselves against scammers.

Young people are chronically online

Statistics show that on average, people spend over 6 hours per day online. With the Internet playing an integral part of modern life, it's easy to see why scammers target young professionals.

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Spending more time online means overexposure to scams such as phishing and malware attacks. Other types of scams young people encounter include shopping, investment, cryptocurrency scams, and romance scams. This brings us to….

Young adults may be more trusting of strangers

Young adults, in their quest for independence and new experiences, may sometimes display a higher level of trust in strangers. Their eagerness to explore the world, make new friends, and venture into uncharted territories can make them more open and accepting of the people they meet. 

While this willingness to trust can foster genuine connections and exciting encounters, it can also expose them to potential risks, especially in a world where not everyone has their best interests at heart. 

Balancing trust with caution becomes crucial to navigating the complexities of a rapidly changing and interconnected society.

Vulnerable to get-rich-quick schemes

Young, ambitious individuals are often the primary targets of get-rich-quick schemes. Scammers are adept at capitalizing on the latest trends and emerging technologies, crafting enticing strategies that promise substantial profits. These strategies are often shared widely online, often with the help of social media influencers.

Take the CryptoZoo saga, for instance, many went into it because Logan Paul, a popular influencer had marketed the coin. This has been a common occurrence, especially when cryptos and NFTs are involved. Amidst numerous genuine crypto projects, there is an equal number of self-proclaimed experts exploiting these digital currencies. Their aggressive marketing strategies can attract a substantial following, and sadly, unsuspecting individuals, unfamiliar with the red flags of a dubious crypto platform, fall into their traps.

Young adults act impulsively

Young adults often exhibit a tendency to act impulsively, driven by their youthful exuberance and zest for life. This impulsive behavior may manifest in various ways, from spontaneous road trips to making snap decisions regarding their education, career, or finances.

However, this impulsivity can also make them more vulnerable to the many schemes by scammers. One of the ways scammers prey on victims is by using instantaneous trucks that require quick decision-making. 

As young adults navigate the complexities of adulthood, finding a balance between their natural impulsiveness and a measured consideration of life's choices is essential for making informed and responsible decisions.

Other reasons why young adults fall for scams

Young adults may be more susceptible to scams for various reasons beyond their impulsivity and tech savviness. Here are some of the other reasons;

• Lack of Experience- limited life experience makes it challenging to spot scams.
• Fear of Missing Out (FOMO): A desire to be part of the latest trends can lead to impulsive decisions and susceptibility to scams.
• Emotional Vulnerability: Life transitions and emotional ups and downs can impact judgment.

How young people can scam-proof themselves

Here are some tips to help young people avoid scams:

• Be wary of any unsolicited emails, text messages, or phone calls.
• Don't give out personal information, such as your Social Security number or bank account information, to anyone you don't know and trust.
• Be suspicious of any offer that sounds too good to be true.
• Do your research before making any financial decisions.
• Educate yourself- learn about common scams as scammers are always updating their tactics.
• Invest in financial literacy- enhance knowledge about money management and investments.
• Seek advice- consult with trusted family members or mentors before committing to major decisions.
• Report suspicious activity- inform relevant authorities or organizations about potential scams.

 

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