A new global study from LSEG Risk Intelligence highlights that the consequences of financial fraud extend well beyond monetary loss into the psychological impact realm, reshaping how people think, behave, and trust in an increasingly digital but still emotional world.
The report, After the scam: The emotional and financial impact of global fraud, surveyed more than 21,000 adults across 14 countries and found that scams leave a lasting emotional imprint on victims. While financial losses are often the most visible outcome, the study suggests the psychological and emotional effects may be just as significant.
Among those who have been targeted by fraud, 52% reported feeling anger or frustration, making it the most common response. This is followed by 34% who experienced anxiety or fear around money, while 32% reported embarrassment or shame. Additional responses included guilt (28%), helplessness or loss of control (28%), and stress or sleep difficulties (25%).
David Wilson, Group Head at LSEG Risk Intelligence, noted that scams often carry an emotional weight that persists long after the incident itself, which can be quite traumatic for the fraud victim. He pointed to a broader “trust deficit” emerging as a result, where repeated exposure to fraud can make individuals more cautious in their interactions with digital systems.
The findings come against a backdrop of widespread exposure to scams. More than half of adults globally (54%) say they have either been targeted by a scam or know someone who has. Meanwhile, 26% report being personally targeted within the past two years, and among those, 20% say they lost money as a result. Overall, 11% of adults globally report having suffered a financial loss due to scams in that period.
Emotional impact of scam
The emotional impact appears to vary across demographics. Women are more likely than men to experience anxiety or fear after being scammed, with 40% reporting financial anxiety compared to 29% of men. Older generations also report stronger emotional responses, with 39% of Baby Boomers saying they felt embarrassment or shame, compared to 32% of all victims.
Beyond emotions, scams are influencing behaviour in measurable ways. Nearly all victims (97%) say their experience changed how they act going forward. This includes 46% who are now more cautious when making online payments, 41% who are more careful about sharing financial details, 37% who double-check company legitimacy more frequently, and 29% who report reduced trust in people or organisations.
At the same time, the research highlights a disconnect between confidence and preparedness. While 78% of adults globally say they feel educated about how to avoid scams, only 13% say they are fully aware of the protections or support available if they fall victim. Meanwhile, 28% say they are not aware of any such protections at all.
This gap raises broader questions about how well current systems support individuals not just in preventing fraud, but in recovering from it, both financially and emotionally. As scams become more widespread, the findings suggest that addressing their impact may require a more holistic approach, one that recognises both the numbers lost and the experiences behind them.
