The federal government needs to lead the fight against scams and fraud

Scams and frauds have reached unprecedented levels in the United States, threatening the financial security of millions of Americans each year and eroding public trust. This crisis demands urgent and coordinated federal leadership.

Over $12.5 billion in losses were reported to the Federal Trade Commission in 2024, according to the latest FTC data. However, experts suggest this crisis may exceed $150 billion annually in the Americas alone. The problem is, no single government agency is responsible for leading the fight against scams, leaving businesses and consumers vulnerable to increasingly sophisticated criminal syndicates and even hostile nation-states. Americans deserve better. With the new administration in place, now is the moment to change that.

I urge the administration to establish a national fraud prevention task force, with a clear mandate to unify efforts across the federal government, work closely with the private sector, and implement a national strategy to combat fraud and scams. This new interagency task force should bring together the Federal Trade Commission, Federal Communications Commission, Department of Justice, FBI and the Treasury Department, among others. By aligning resources and strategies, this task force can close critical gaps in scam prevention and response.

Banks have made significant strides in protecting their customers, from deploying advanced fraud detection systems to educating consumers about common tactics. Many institutions have invested heavily in technologies, such as artificial intelligence tools, to monitor transactions and identify unusual activity. However, fraud and scams are no longer just financial problems — they represent a national security concern. These scams are often orchestrated by international organized crime groups that use stolen funds to fuel activities such as terrorist financing, human trafficking, drug smuggling and money laundering.

The complexity of these scams has also evolved beyond traditional phone calls or emails. Today’s criminals exploit consumer weaknesses across multiple industries, including telecommunications, social media and banking, using fake profiles and fraudulent messages to gain victims’ trust. Through “authorized push payment” fraud, victims are tricked into willingly transferring funds to criminals. The interconnected nature of these scams makes fraud more challenging to combat. While many government agencies play a role in fraud prevention, no single agency has the resources or authority to oversee a comprehensive national response. This fragmentation limits their effectiveness. The solution demands a coordinated, multi-industry response that stops scams at their source and disrupts the criminal networks behind them.

To truly address the scale and complexity of modern scams, the federal task force should take several actions.

First, the task force must help coordinate government agencies and work with financial institutions, telecom providers and social media companies to revisit regulations that enable real-time information sharing and fraud prevention.

Second, it should drive public awareness and education through coordinated campaigns to help Americans identify scams and avoid falling victim to them.

Third, federal, state and local law enforcement agencies, along with prosecutors, should be directed to prioritize combating scams and fraud. These efforts require significant investment to provide the specialized training, staffing and tools needed to investigate and prosecute these crimes effectively. Ensuring that these agencies have the resources to act decisively will send a clear message to criminal networks: Exploiting Americans will not go unpunished.

Finally, it should prioritize solutions that address vulnerabilities across sectors while protecting consumer privacy. This includes enabling cross-sector data sharing and supporting all stakeholders in adopting uniform fraud prevention approaches.

Scammers are becoming more sophisticated, and they prey on the most vulnerable members of our communities. This crisis demands a comprehensive, coordinated response led by the federal government. By establishing a task force, fostering public-private collaboration, prioritizing prevention and education, and equipping law enforcement with the resources to pursue and prosecute, this administration can make a lasting impact in the fight against fraud. We cannot afford to wait. The time to act is now.