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Sweepstakes Fraud Statistics: What the FTC Data Shows

By Pete Danylewycz · Founder, Sweepstakes Radar·June 23, 2026·8 min read
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Sweepstakes are one of the most popular forms of free online participation in the U.S. — but they're also one of the most impersonated. Prize and lottery fraud consistently ranks among the top consumer complaint categories reported to the Federal Trade Commission.

Here's what the data actually shows: how many Americans are affected, how much money is lost, who's most at risk, and how the numbers have changed over time.


Total Sweepstakes Fraud Complaints in 2025

According to the FTC's Consumer Sentinel Network — the federal database that collects fraud reports from consumers, law enforcement, and partner organizations — the "Prizes, Sweepstakes, and Lotteries" category generated tens of thousands of complaints across all 50 states and the District of Columbia in 2025.

We compiled the state-level data into the Sweepstakes Scam Risk Index, which ranks every state by fraud risk using a composite score based on per-capita complaint rates and average dollar losses per complaint.

Key national figures from the 2025 data:

  • Total complaints filed across all states in the Prizes, Sweepstakes, and Lotteries category
  • Hundreds of millions in reported dollar losses — and this only captures losses that victims reported, which the FTC estimates is a fraction of actual losses
  • Every state was affected — no state reported zero complaints in this category

How Much Do Victims Lose?

Dollar losses vary enormously by state and by individual case. Some victims report losing a few hundred dollars to a one-time "processing fee" scam. Others lose tens or hundreds of thousands to ongoing fraud operations that extract multiple payments over weeks or months.

The states with the highest total dollar losses in 2025 include California, Florida, and Texas — driven partly by population size. But when you look at average loss per complaint, some smaller states show higher per-victim losses, suggesting more targeted, higher-value scam operations.

The Scam Risk Index breaks this down for every state with an interactive map and sortable table.


Who Gets Targeted?

FTC data and academic research consistently identify several groups that face higher risk:

Adults over 60

Seniors are the most disproportionately targeted group for prize and lottery scams. The FTC's annual reports show that while younger consumers report more fraud overall (driven by online shopping scams), older adults report higher median losses and are more likely to be targeted by phone-based sweepstakes fraud specifically.

The phone call remains the primary delivery method for sweepstakes scams targeting seniors: a caller claims the victim has won a major prize and needs to pay fees or taxes to collect it. These calls are persistent, persuasive, and designed to create urgency.

People who enter sweepstakes regularly

Active sweepstakes entrants see more scam attempts simply because they're more visible. Entering sweepstakes through unverified sources — random social media posts, email links from unknown senders, or unscreened online forms — increases exposure to fraudulent operations.

This is one reason we built Sweepstakes Radar with manual verification for every listing. When you enter through a source that screens promotions before publishing them, you eliminate the most common fraud vectors.

People who've been scammed before

The FTC has documented "sucker lists" — databases of previous fraud victims that are sold between scam operations. If you've lost money to a prize scam before, your contact information may be circulated to other fraudsters who know you've paid once and may pay again. This makes reporting even more important: law enforcement uses complaint data to identify and disrupt these networks.


Types of Sweepstakes Fraud

The FTC's "Prizes, Sweepstakes, and Lotteries" category captures several distinct scam types:

Advance fee fraud

The most common type. A victim is told they've won a prize but must pay taxes, fees, or other charges upfront to claim it. Legitimate sweepstakes never require payment — prizes are always free to claim.

Foreign lottery scams

A victim receives a notification (often by mail or email) claiming they've won a foreign lottery — typically from Jamaica, the Netherlands, or Australia. The victim never entered any such lottery, and in many cases, the "lottery" doesn't exist. These scams often request wire transfers or gift card payments.

Impersonation scams

Scammers impersonate real companies or government agencies, claiming the victim has won an unclaimed prize that's being held for them. They may use official-looking documents, fake check enclosures, or spoofed caller IDs. Our guide on spotting fake sweepstakes on social media covers how these work on platforms like Facebook and Instagram.

Recovery scams

After a victim has already lost money to a prize scam, they may be contacted by someone claiming to be from a government agency or consumer protection organization that can recover their lost funds — for a fee. This is a second scam targeting the same victim.


How These Numbers Compare to Other Fraud

Prize, sweepstakes, and lottery fraud is one of many categories the FTC tracks. For context:

  • Business imposters and online shopping fraud generate the highest volume of complaints overall
  • Investment fraud generates the highest dollar losses per complaint
  • Prize and sweepstakes fraud falls in the middle for volume but tends to have above-average per-victim losses compared to categories like online shopping

What makes sweepstakes fraud distinctive is its targeting pattern: it disproportionately affects older adults and relies heavily on phone-based outreach rather than digital channels.


Are Sweepstakes Fraud Reports Increasing?

The trend is complicated. The FTC has reported fluctuations in sweepstakes fraud complaints year over year. Some of this reflects actual changes in fraud activity; some reflects changes in consumer awareness and reporting behavior.

What is clear is that the fraud hasn't gone away. Despite increased awareness campaigns and enforcement actions, sweepstakes scams remain a persistent and profitable form of consumer fraud. The economics are simple: the cost of running a phone or email scam operation is low, the potential payout from each victim is high, and prosecution is difficult when operations are based overseas.


How to Use This Data

If you enter legitimate sweepstakes and want to stay safe, the statistics point to a few actionable takeaways:

Check your state's risk profile

Use the Sweepstakes Scam Risk Index to see where your state ranks. States with higher risk scores see more scam activity — which means residents should be especially cautious about unsolicited prize notifications.

Use verified sources

The simplest way to avoid sweepstakes fraud is to never respond to unsolicited "you've won" notifications and instead find promotions through platforms that screen them. Browse verified sweepstakes listings that have been checked for official rules, sponsor legitimacy, and free entry.

Know the warning signs

Familiarize yourself with the 10 warning signs of a sweepstakes scam. Once you know the playbook, these scams become easy to identify.

Report fraud

Every complaint filed with the FTC contributes to the data that funds enforcement actions. If you've been targeted — even if you didn't lose money — report it at ReportFraud.ftc.gov.


Understanding the Real Risk

Sweepstakes fraud is real and the numbers are significant. But it's important to keep perspective: millions of Americans enter sweepstakes safely every year. The fraud happens almost exclusively through unsolicited contact — random calls, emails, and social media messages from people claiming you've won something.

If you find promotions yourself through verified sources, read the official rules, and never pay to enter or claim a prize, your risk drops to near zero. The data doesn't say sweepstakes are dangerous — it says unsolicited prize notifications are dangerous. There's a big difference.

PD

Pete Danylewycz

Founder, Sweepstakes Radar

Pete founded Sweepstakes Radar to give people a single trustworthy place to find verified sweepstakes and giveaways. He has personally entered thousands of sweepstakes over the years and oversees all editorial standards on the platform.

More about the team →

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