Holiday Season Scam Prevention: Empowering Consumers

Campaign Launches to Safeguard Holiday Shoppers

As the holiday shopping season approaches, the Financial Technology Association (FTA) has unveiled its annual Smarter Than Scams initiative. This campaign aims to equip consumers with necessary tools and knowledge to identify and avoid prevalent payment scams.

Partnerships with Leading Payment Platforms

The campaign features collaboration with major financial service providers, including PayPal, Venmo, and Cash App. Together, these organizations are committed to raising awareness about various scams that often victimize consumers during this festive time of year.

“Our goal this holiday season is to empower consumers with effective strategies to prevent fraud,” stated Penny Lee, FTA's President and CEO. “Scammers thrive on urgency, so taking a moment to verify information can protect your finances.”

Understanding the Scope of Holiday Scams

During the holidays, reports of fraud typically surge, with 89% of U.S. consumers experiencing some form of scam. According to the Federal Trade Commission, over half of the reported losses in early 2026 were linked to scams originating from social media and communication platforms. A recent Juniper Research report estimates that fraud in these areas could cost American consumers upwards of $5.1 billion by 2031.

Common Scams to Watch For

During the holiday season, various scams can surface, including:

• Requests for deposits to secure gifts.
• Fake charity solicitations.
• Demands for payment via gift cards.
• Phony invoices.
• Impersonation and phishing attempts.

Some scammers even utilize manipulated audio and video—referred to as deepfakes—to present themselves as trustworthy entities.

Stay Safe with These Practical Tips

The Smarter Than Scams campaign encourages individuals to protect themselves by following some key guidelines:

• Pause Before You Pay: Scam artists often create a sense of urgency. Take a step back and think before completing any transaction.
• Verify the Person: If any communication feels suspicious, stop responding and use official channels to confirm the identity of the caller or sender.
• Stop and Check: If something appears too good to be true, it probably is. Trust your instincts and investigate further.
• Play It Safe: Only send money to known and trusted individuals. Use strong, unique passwords and enable two-factor authentication for additional security.
• Test Your Knowledge: Take advantage of features like those found at SmarterThanScams.com to assess your scam recognition skills through common scenarios.

Action Against Fraud

While payment platforms are often on the receiving end of scams, they are actively working to combat fraud in several ways:

• Educating consumers via national campaigns and collaborating with consumer protection organizations.
• Partnering with law enforcement to take action against fraudsters.
• Applying artificial intelligence and machine learning solutions to identify and thwart suspicious activities in real-time.
• Enhancing internal expertise and conducting thorough investigations to strengthen fraud prevention strategies.

A Coordinated Approach is Essential

Industry leaders are advocating for a comprehensive national strategy to combat fraud. This includes embracing digital technologies, increasing law enforcement resources, and improving data sharing between public and private sectors. For more information on how to effectively protect yourself from scams this holiday season, visit SmarterThanScams.com.

About the FTA

The Financial Technology Association (FTA) represents a network of prominent fintech companies and digital banking enterprises aiming to shape the future of finance. The FTA champions financial innovation and advocates for policies that foster competition, access, and opportunity.