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Canadians are losing more money to online fraud than ever before – and the damages go well beyond financial loss.
In 2024, Canadians reported losing over $647-million to fraud, a dramatic increase from $165-million in 2020, according to Jeff Horncastle, client and communications outreach officer for the Canadian Anti-Fraud Centre.
In the first three months of 2025, Canadians lost another $163.5-million. This may only be a fraction of actual losses, given that many Canadians don’t report instances of fraud.
In April, top executives at the Ontario Securities Commission said the regulator has also seen a sharp increase in online scams, driven by emerging technologies such as artificial intelligence and cryptocurrency.
While the financial impact of fraud has been widely discussed, experts say the emotional and psychological harm, including anxiety, depression and suicidal ideation, is often overlooked. With scams on the rise, more Canadians are seeking help in the aftermath of online fraud incidents, support services providers say.
Friends, family and social media often minimize fraud with dismissive phrases such as “that’s just a scam,” Mr. Horncastle said. He added that sentiment ignores the harm fraud causes and shames the victim, which leads to social isolation and fear around reporting scams.
“Shame and embarrassment can make victims withdraw from family and friends, further compounding their distress and loss of trust,” Mr. Horncastle said. Many victims struggle to trust others after being scammed, he explained, especially if the perpetrator poses as an authority figure or a loved one.
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Since fraudsters target victims through multiple channels – text, e-mail, social media and more – it’s crucial to recognize that anyone can fall victim to fraud, regardless of age, education or background, Mr. Horncastle said.
“Fraudsters continuously change their methods, making it increasingly difficult to identify fraud when it’s happening,” he added.
The combination of shame, shock and betrayal makes fraud especially traumatic, and can trigger symptoms of post-traumatic stress disorder, such as insomnia, nightmares and night sweats, said Carly Kalish, chief executive officer of Victim Services Toronto (VST). “It’s like the wool has been pulled over your eyes.”
At VST, Ms. Kalish has seen an uptick in fraud victims seeking emotional support. She encourages them to reach out to victim services agencies, such as VST, which can offer non-judgmental, shame-free support, regardless of whether victims choose to report crimes to the police.
VST, for example, operates 24 hours per day, and trained professionals experienced in victimization provide services tailored to each victim’s needs.
That support may include: assistance with closing bank accounts, changing passwords and providing emotional support or referrals to additional resources. Staff help victims reframe their experiences so they understand that the crime isn’t their fault. “It’s the fraudsters who are ‘the bad guys,’” Ms. Kalish said.
VST also helps victims reconnect with loved ones, particularly when shame has kept them from disclosing instances of fraud. For example, it’s common for seniors to hesitate telling adult children they’ve been scammed, Ms. Kalish said.
According to the federal government, fraud is the number one crime committed against older Canadians. While anyone can fall victim to fraud, seniors are targeted more frequently because they’re often home during the day, may be more trusting and may not have family or friends nearby to ask for a second opinion.
VST sometimes refers seniors affected by fraud to Chatting to Wellness, a non-profit that supports seniors’ mental health by offering one-on-one phone calls with volunteers on weekday evenings.
Connected Canadians, a charity that promotes digital literacy among seniors, is developing a program called Cyber Safety First Aid to train family members, caregivers and other professionals who support seniors to provide emotional support and guidance when they are victimized by fraud.
The organization’s goal is to ensure that people who support seniors know how to help them recover financially and psychologically so they “feel safe and confident returning to the online world,” said Emily Jones Joanisse, CEO and co-founder of Connected Canadians. The program will launch by early July.
Carrie Foster, president of the Canadian Counselling and Psychotherapy Association (CCPA), advises victims of any age to seek help from trauma-informed specialists, noting the toll fraud can take on the nervous system.
In a fight or flight state, victims may struggle to think clearly, which can leave them vulnerable to being targeted again, Ms. Foster said.
One of her recommendations is to contact a certified counsellor through the CCPA. Ms. Foster, who also works with victims of criminal violence, said therapy can help people work through their triggers. For example, if someone experiences fraud via a phone call, they may get nervous or agitated every time the phone rings. A therapist can guide victims through exercises to help ease those trauma responses.
For people reluctant about entering therapy, Ms. Foster notes that it can be a short-term process. Depending on the individual and their background, a victim may only need four sessions to process the experience and develop coping skills to recover.
Ms. Foster also recommends any kind of trauma-informed emotional support group, even if the groups don’t focus specifically on fraud itself.
“Fraud is being taken advantage of. Fraud is being done an injustice. Fraud is being victimized,” Ms. Foster said. When that happens, people need to find ways to heal – and one of the ways to do so is with therapeutic support, she said.
Editor’s note: This article has been updated to correct the name of the Cyber Safety First Aid program.