‘I felt so stupid and worthless’: 5 digital financial fraud stories and what you can learn from them

Driven by the mounting pressure of finding a home, Chandra found herself making a fateful decision. “He provided a bank account, so I went ahead and completed the transaction. Afterwards, he mentioned that I needed to make a down payment, which would be refunded. I had doubts and a nagging feeling that it could be a scam but I was in urgent need of a house and made a hasty decision to proceed with the payment,” she says.

A transfer of ₹11,000 later, the trap was sprung. “He did not refund my money and claimed that I had made the payment incorrectly. To get my money back, he demanded an additional payment of ₹18,000. Realising I had been scammed, I confronted him, but he began to misbehave with me over the phone,” she says.

Chandra’s predicament is one that countless Indians are finding themselves in after falling victim to online fraud. These cold and calculated crimes rob people of their peace of mind and sense of security, leaving victims feeling vulnerable and ashamed.

Shivaprasad T V, 30, a finance consultant, opens up about being scammed by two entities: one claiming to offer professional mentoring and another promising tutoring jobs with payments. The Pune-based platform claiming to offer CA mentoring, “took money for sessions and ghosted me when I asked for a refund,” he says, while the training institute “promised payment for tutoring but disappeared after I completed the assigned classes”.

Meghna, an author, was scammed during the 2020 Covid lockdown when she sought to buy a budget-friendly phone on Facebook Marketplace. “I found a OnePlus phone at a cheap price,” she reveals. “I came across this person on Facebook who claimed to be from the Indian Army. To support his claim, he shared some ID cards with me,” she adds. Believing the offer, the 27-year-old paid multiple amounts (₹1,000, ₹8,500, ₹9,000) after claims of delivery issues. The scammer then stopped responding, disconnected calls and denied the transactions.

Andrea Cutinho, 23, a Mumbai-based content writer, was contacted by a scammer with a credible story about owing her father money for medical bills. “The fraudster claimed he would transfer two amounts: ₹10,000 first, followed by ₹3,000 from his relative, making it ₹13,000 in total. However, I received a fraudulent message stating that ₹10,000 had been credited to my account, followed by another fraudulent message claiming ₹30,000 had been transferred instead of ₹3,000. He called me, panicking, saying he had added an extra zero by mistake, making it ₹40,000 total. He then insisted that I transfer ₹18,000 back to him, as it was the ‘extra’ amount. Since I didn’t check my bank account and didn’t verify whether the money was actually credited, I believed the fraudulent messages,” she says.

Anindya Avvayyam Rattan, a PR consultant, received a call from someone impersonating her father’s colleague, claiming they needed money due to an emergency. Unable to confirm with family, Rattan was pressured into transferring ₹25,000 via UPI, despite limited familiarity with the platform. “Somehow on call, I entered my own UPI and shared ₹25,000 with him,” discloses the 31-year-old.

Financial loss can cause significant anxiety (Source: Freepik)

The mental toll on victims

For the victims of online fraud, the gut-wrenching moment you realise you have been tricked can be a bitter pill to swallow, leading to sleepless nights wondering how this could have happened to you and the feeling of embarrassment when you have to tell your family.

Chandra says that she felt immense guilt and shame for falling prey to the scam. “I was mentally shaken because I have always warned my parents to avoid falling for things like this, yet I ended up falling into the trap myself,” she says.

Rattan explains how she felt undeserving and incapable of independent living, leading to a delay of 2-3 years in resuming UPI usage. “Immense shame, anxiety…I felt so stupid and worthless. I was earning a meagre ₹28,000 a month and to lose almost a month’s salary was such a shameful experience,” she says.

Shivaprasad says the experience was emotionally and financially draining, especially since he needed the funds for urgent surgery. “I felt anxious and ashamed for trusting them, which added to the stress of my financial situation,” he remembers.

For Meghna, it was challenging as her family members taunted her over the loss, which compounded feelings of guilt. “Any minor mistake leads to fights and these were my savings, my money,” she says, “I cried a lot because I went broke and I was unwell (I had chicken pox then) and the lockdown was starting. I knew that I would not be able to earn money for a few months.”

Cutinho became extremely cautious, adopting measures like using apps to screen calls and verifying the authenticity of even legitimate-sounding requests. “Even for legitimate calls, I now demand proof of identity, even from banks. The incident instilled a sense of distrust, and I question everyone’s intentions, even for unrelated matters,” she says.

Richie Sikri, a clinical psychologist at mental health startup Lissun, tells indianexpress.com, “Falling into financial scams is a distressing event in itself, especially for an individual who has recently experienced it. The feeling of emotional numbing and detachment can be seen in such individuals, which are often used to safeguard themselves from emotional pain and suffering. There is a constant feeling of powerlessness associated with not being able to do anything about the situation, which in turn leads to the perception of a negative self-image, deeply affecting the self-esteem of that individual along with feelings of shame.”

Neha Cadabam, senior psychologist at Cadabams Hospital, notes, “Severe scams, particularly those involving identity theft, can cause symptoms akin to post-traumatic stress, including flashbacks, hypervigilance, and avoidance behaviours.”

She adds that financial loss can cause significant anxiety, especially when victims face urgent financial needs or long-term financial instability. “Prolonged feelings of worthlessness, failure, or regret can escalate into depressive symptoms,” she remarks.

Societal attitudes and the impact on mental health

“Yes, societal attitudes do contribute towards the mental health struggles of victims of scams. This can usually be seen with both stigmatising as well as victim blaming,” asserts Sikri. Here, the individual is seen as being gullible, careless and irresponsible and because of this victim-blaming, there is a lot of reluctance to report the fraud.

Cadabam stresses how society often underestimates the sophistication of modern scams, failing to recognise that anyone can be deceived. “Societal attitudes often amplify the mental health struggles of scam victims. A culture of victim-blaming, combined with misconceptions about scams, exacerbates feelings of shame and isolation,” she says.

Financial literacy is the most important aspect of preventing financial scams. (Source: Freepik)

Most common financial scams in India today

Shiva Prakash Devaraju, an IPS officer and cyber security expert from Bengaluru, says, “India has become a hotspot for financial scams with fraudsters leveraging technology and trust to exploit unsuspecting individuals.”

Here are the most prevalent scams:

“The numbers reveal the gravity of the issue. In 2023, 34 per cent of Indian internet users were targeted by cybercriminals and 7.43 crore cyber threats were blocked, according to Kaspersky. Moreover, 7.41 lakh cases reported between January and April 2024 resulted in losses exceeding ₹1,750 crore. Awareness and vigilance are crucial,” the officer tells indianexpress.com.

What you can do to protect your financial information

Santosh Joseph, CEO, Germinate Investor Services, describes some simple yet extremely practical proactive steps that can help prevent such scams.

“Always check the validity of offers and verify URLs and official literature. Even if you trust someone, it is advised to get a family member or friend to verify the authenticity of the information. A very simple rule of thumb is to ask yourself: Is it too good to be true? If so, check with someone you trust or ask for links and further information. You can also use Google to confirm if such claims are legitimate,” he says.

Sometimes, he adds, asking a few questions or seeking advice from family or friends can help determine whether a product is trustworthy. “Avoid signing anything, transferring documents, or handing over original papers to unfamiliar individuals. Even when dealing with familiar people, exercise caution, maintain control, and retain the right to ratify transactions,” he recommends.

Financial literacy is the most important aspect of preventing financial scams. “It is essential to simplify communication and make people aware of dos and don’ts,” proposes Joseph.

Scams take an emotional toll. Talk to counsellors or support groups if needed. (Source: Freepik)

Advice for those who have fallen victim to scams

Falling victim to a scam can be distressing but prompt action can minimise damage. Devaraju suggests the following:

Report the incident: Immediately lodge a complaint on the Cyber Crime Portal (www.cybercrime.gov.in) or call 1930. Provide all relevant evidence, such as screenshots and transaction IDs.

Inform your bank: Notify your bank to freeze transactions, block compromised accounts, and initiate fraud recovery processes.

File an FIR: As per the Information Technology Act, 2000 and Bharatiya Nyaya Sanhita, fraud is a criminal offence. Filing an FIR ensures the case is investigated.

Monitor accounts: Keep a close eye on all accounts for unauthorised activity, even after reporting the fraud.

Seek mental health support: Scams take an emotional toll. Talk to counsellors or support groups if needed.