The UK'sFinancial Conduct Authority (FCA) disclosed today (Wednesday) that fraudstersimpersonating the regulator have targeted thousands of consumers this year,with nearly 500 people falling victim to the schemes and handing over money.FCA Reports Almost 4,500Impersonation Scams in First Half of 2025The FCAreceived 4,465 reports of fake scams using the regulator's nameduring the first six months of 2025, with 480 people actually transferringfunds to the criminals. The figures represent aconcerning trend as scammers exploit the regulator's trusted reputation tosteal money and sensitive banking information."Fraudstersare ruthless," said Steve Smart, joint executive director of enforcementand market oversight at the FCA. "They attempt to steal money frominnocent victims by impersonating the FCA. We will never ask you to transfermoney to us or for sensitive banking information such as account PINs andpasswords."Peopleover 56 made up nearly two-thirds of all reports, suggesting olderconsumers are being specifically targeted by these impersonation schemes. Thecriminals typically contact victims through phone calls, text messages, emailsor WhatsApp messages, claiming to represent the FCA.Crypto Recovery Scams Leadthe PackThe mostfrequently reported scam involves fraudsters telling victims that the FCA hasrecovered cryptocurrency funds from wallets allegedly opened illegally in theirnames. These criminals then convince people to provide banking details ortransfer money to claim their supposed recovered assets.Anothercommon approach targets people who have already fallen victim to loan scams.The fraudsters contact these vulnerable individuals, claiming the FCA can helpthem recover their lost money - but only if they pay additional fees upfront. Asimilar situation recently affected Polish investors, who ended up beingdefrauded twice.A thirdscheme involves fake emails telling consumers that creditors have obtainedcounty court judgments against them. The messages instruct recipients to paythe supposedly owed money directly to the FCA to resolve the legal issue.“Pig Butchering” AddsEmotional ManipulationThe FCAalso warned about "pigbutchering" scams, where criminals build romantic or personalrelationships with victims over extended periods before executing investmentfraud. After the initial theft, these same scammers often return pretending tobe FCA officials who can help recover the stolen funds - for a fee.The warningcomes as the scale of these impersonation scams continues growing. Throughoutall of 2024, the FCA received 10,379 reports of fake scams using its name, with991 people losing money to the fraudsters.The FCAemphasized that it never requests money transfers or sensitive bankinginformation like PINs and passwords from consumers. Anyone receivingunsolicited contact claiming to be from the regulator should be suspicious,regardless of the communication method used.You may also like: UK Watchdog Puts Algo Trading Firms’ Risk Controls Under the MicroscopeScams on the RiseTheregulator advises people who receive questionable communications to verifytheir authenticity by contacting the FCA directly through its official websiterather than responding to the suspicious message. Consumers can reportsuspected scams to Action Fraud or Police Scotland, depending on theirlocation.The surgein FCAimpersonation scams reflects broader trends in financial fraud, wherecriminals increasingly exploit trusted institutional names to bypass consumerskepticism and steal money or personal information.In April,FinanceMagnates.com reported that fraudsters had exploited the same victimsthree times, posing first as collection agents and later asEuropol officials. Today,Australia’s equivalent of the FCA also warned about a growing wave of fakecelebrity investment scam sites promoting deals that are too good to be true. ASIChas already shut down 330 such websites this year alone.This article was written by Damian Chmiel at www.financemagnates.com.