- Expert warns against scams particularly rife in the new year, including fitness & weight loss, investment, and career scams
- New report names Alaska as most at risk of these scams, with an average $719 loss per fraud report
- Researchers gathered quarterly fraud report data from 2022 to 2024, analyzing the number of incidents and average sum lost per report over the months of January, February, and March
Experts at data collection website SOAX have issued a warning against three types of scams that are particularly rife in the new year, highlighting the states most at risk, according to a recent study.
Fitness and dietary scams: As millions commit to improving their health, scammers capitalize on this by promoting “miracle” weight-loss solutions, fraudulent fitness programs, and overpriced supplements. Many victims report unauthorized charges after signing up for “free trials” of dietary products or fitness services.
Investment scams: Financial resolutions also make individuals susceptible to fraudulent investment schemes and money-saving “opportunities.” Promises of high returns with little effort are designed to lure in those looking to grow their savings quickly, often leading to significant financial loss.
Career scams: January is a peak hiring season, which scammers exploit through fake job listings and training programs. Many job seekers are duped into paying for certifications, materials, or even fake onboarding processes.
A recent study from SOAX revealed the states most vulnerable to these scams in the new year. Researchers calculated the average number of fraud reports per 100,000 residents and the average sum lost per report.
The data was analyzed over each Q1 (January, February, and March) since 2022, and split by state. These results were combined to give each state a risk score out of 100, with a higher number meaning increased vulnerability.
Alaska is most at risk of scams with a score of 85.45 out of 100. This is due to the average quarterly loss per report of $719.19, the highest loss of the quarter. The state also had 161.15 fraud reports made per 100,000 residents, placing it in the top ten for fraud reports.
Residents in Nevada ranked as the second most at risk, scoring84.78 out of 100 due to a heftyaverage 193.32 fraud reports per 100,000 residents, the third-highest number of reports. The state averaged $640 lost per report.
Florida, in third, had an average loss of $653.33 across 177.41 reports made per 100,000 residents, resulting in a score of 83.54 out of 100.
Delaware could also be in trouble with the highest number of fraud reports for the quarter at 194.25 reports per 100,000 residents. The state saw a slightly lower $521.50 lost per report, scoring 80.32 out of 100. Delaware residents should take caution in the new year, as the state moves from sixth position year-round to fourth in Q1 – signaling an increased risk from January to March.
In fifth is Arizona, with a score of 78.04 out of 100. The state had 174.52 instances of fraud per 100,000 residents, with an average loss of $640 per report.
Scoring 77.68 out of 100,Maryland is thesixth state most at risk of scams, with 182.11 fraud reports per 100,000 residents, and $566.67 loss per report.
Washington ranked seventh, scoring 74.6 out of 100with an average of $578 lost across 175.73 reports.
In eighth, with a score of 74.15 out of 100 is Colorado, with an average of $505.33 lost across 193.76 reports – the second highest number of reports.
California, ranked ninth, recorded 145.31 fraud reports per 100,000 residents, the lowest of the 10 at-risk states. Unfortunately, each report had a higher average loss of $704.62 each, giving the state a score of 71.15 out of 100.
Rounding out the top 10 states most at risk of being scammed over the festive season with a score of 68.64 out of 100 is New Jersey. The state reported an average of 148.51 fraud reports per 100,000 residents, with an average loss of $610.22 per report.
The 10 states most at risk of scams in the new year
|
Rank |
State |
Average Fraud Reports per 100k Residents (Q1) |
Average Sum Lost per Report |
Score (Out of 100) |
|
1 |
Alaska |
161.15 |
$719.19 |
85.45 |
|
2 |
Nevada |
193.32 |
$640.00 |
84.78 |
|
3 |
Florida |
177.41 |
$653.33 |
83.54 |
|
4 |
Delaware |
194.25 |
$521.50 |
80.32 |
|
5 |
Arizona |
174.52 |
$640.00 |
78.04 |
|
6 |
Maryland |
182.11 |
$566.67 |
77.68 |
|
7 |
Washington |
175.73 |
$578.00 |
74.67 |
|
8 |
Colorado |
193.76 |
$505.33 |
74.15 |
|
9 |
California |
145.31 |
$704.62 |
71.15 |
|
10 |
New Jersey |
148.51 |
$610.22 |
68.64 |
While everyone should be vigilant when dealing with sensitive personal information online, some states proved less at risk from scammers.
The report revealed Iowa as the state least at risk of fraud in the new year, scoring 14.04 out of 100. With a much lower fraud report count of 105.05 per 100,000 residents, they averaged a $413.33 loss per report, the fourth lowest of all states.
Scoring 16.67 out of 100, Mississippi ranked second least at risk, with an even lower 104.68 fraud reports per 100,000 residents and a $428.20 loss per report.
The third least at risk is South Dakota, averaging a $425.33 loss across 109.74 fraud reports made per 100,000 residents, resulting in a score of 18.66 out of 100.
Arkansas ranked as the fourth least vulnerable to scammers with 117.63 fraud reports per 100,000 residents and $430 lost per report, scoring 25.48 out of 100.
In fifth with 130.46 fraud reports per 100,000 residents is Kentucky. The state saw an average loss of $416.67 per report.
The 10 states least at risk of scams in the new year
|
Rank |
State |
Average Fraud Reports per 100k Residents (Q4) |
Average Sum Lost per Report |
Score (Out of 100) |
|
1 |
Iowa |
105.05 Don’t like ads? Become a supporter and enjoy The Good Men Project ad free |
$413.33 |
14.04 |
|
2 |
Mississippi |
104.68 |
$428.20 |
16.67 |
|
3 |
South Dakota |
109.74 |
$425.33 |
18.66 |
|
4 |
Arkansas |
117.63 |
$430.00 |
25.48 |
|
5 |
Kentucky |
130.46 |
$416.67 |
26.58 |
|
6 |
Rhode Island |
136.24 |
$408.40 |
26.62 |
|
7 |
Wisconsin |
134.69 |
$427.34 |
31.11 |
|
8 |
Indiana |
128.58 |
$431.00 |
31.14 |
|
9 |
West Virginia |
128.15 |
$433.67 |
32.61 |
|
10 |
North Dakota |
97.80 |
$561.85 |
33.84 |
Commenting on the results, Stepan Solovev, CEO and Co-founder of SOAX, said: “Scammers are incredibly adept at exploiting New Year resolutions, preying on people’s desire to improve their health, fitness, finances, and careers. Knowing which states are most vulnerable can be a valuable tool in raising awareness and encouraging proactive measures.
“One of the most valuable goals individuals can set is to become more vigilant against scam activity and prioritize staying safe online. To protect yourself, it’s essential to approach opportunities with caution, thoroughly research offers, and remain skeptical of anything that sounds too good to be true. A little vigilance can go a long way in safeguarding your personal information and finances.
Here are some helpful tips to avoid these types of scams:
Fitness and dietary scams
Research products and companies: Verify the credibility of any fitness program, supplement, or product by reading reviews and checking for accreditation with consumer protection organizations.
Be wary of free trials: Read the fine print before signing up for free trials, as many involve hidden subscription fees.
Avoid unrealistic promises: Claims like “lose 20 pounds in a week” or “miracle weight loss solutions” are red flags. Focus on evidence-based solutions from trusted sources.
Stick to reputable brands: Purchase dietary supplements or fitness plans from well-known, established companies rather than unknown vendors.
Investment scams
Verify investment opportunities: Research any investment opportunity with trusted resources like the Financial Conduct Authority (FCA) in the UK or FINRA in the US.
Beware of high returns with no risk: If it sounds too good to be true, it probably is. Legitimate investments always carry some risk.
Check the source: Avoid clicking on unsolicited links or ads promoting financial opportunities, and confirm credentials if approached by a financial advisor.
Consult professionals: Speak to a trusted financial advisor before committing to any new investment.
Career Scams
Research job listings: Cross-check job postings with official company websites to confirm legitimacy. Avoid applying through unverified platforms.
Be wary of upfront payments: Legitimate employers won’t ask for money for training, materials, or certifications upfront.
Look for red flags: Poor grammar, vague job descriptions, and requests for sensitive personal information early in the process are warning signs.
Verify employer credentials: If contacted by a recruiter, verify their identity and association with the company they claim to represent.
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This article brought to you by https://soax.com/
Photo: iStock
