Canada Scams 2025: The $638 Million Crisis – How Impersonation Fraud is Reshaping Canadian Cybercrime

Executive Summary

Canada is experiencing a fraud epidemic of staggering proportions as 2025 progresses, with criminals exploiting advanced AI technology, social engineering tactics, and systemic vulnerabilities to defraud Canadians of hundreds of millions of dollars. The nation lost $638 million to fraud in 2024 alone, with an additional $342 million stolen in just the first half of 2025. Most alarming is the explosive 356% spike in impersonation fraud between 2023 and 2024, signaling a dramatic shift in how criminals target Canadian citizens and businesses. Despite robust awareness campaigns and the 21st annual Fraud Prevention Month, the crisis continues to escalate, with experts estimating that only 5-10% of frauds are actually reported—suggesting the true scope may be catastrophic.

The Scale of the Crisis: By the Numbers

The Canadian Anti-Fraud Centre (CAFC) statistics paint a sobering picture of fraud's grip on the nation:

2024 Full Year

• $638 million lost to fraud
• 108,878 reports received by CAFC
• 34,621 confirmed victims of fraud
• Only 5-10% of actual frauds reported (true losses potentially $6-12 billion)

First Half 2025

• $342 million lost (January-June)
• 24,411 reports processed
• 17,094 confirmed victims
• On track to exceed 2024 losses significantly

Historical Context

• Over $2 billion in total reported losses since 2021
• Fraud rate nearly doubled in a decade: from 260 incidents per 100,000 population (2013) to 501 per 100,000 (2023)
• Over 201,000 total fraud incidents reported by police in 2023
• 12% increase in general fraud rate (2022-2023)

The Underreporting Crisis

The most concerning aspect of Canada's fraud landscape is the massive gap between actual fraud and reported fraud. According to the 2019 General Social Survey on Canadians' Safety:

• Only 11% of fraud victims report to police
• 2.5 million Canadians were fraud victims in 2019 alone (7.8% of population 15+)
• Current estimates suggest 5-10% reporting rate
• This means actual 2024 losses could be $6-12 billion or more

The Impersonation Fraud Explosion

The most shocking development in Canadian fraud is the 356% year-over-year spike in impersonation fraud reported by the South African Fraud Prevention Service (SAFPS), with parallel trends affecting Canadian victims through cross-border schemes.