You are Being Influenced: Beware of Harmful Social Media Content

 

We are all influenced by things that we see online and social media is one of the biggest online influences. An estimated 81% of Americans say they have ever used YouTube vs. 69% for Facebook, 40% for Instagram, 28% for LinkedIn, 23% for Twitter, and 21% for TikTok.

 

According to a 2022 report by the Global Web Index, 58.4% of the world’s population uses social media and the average usage is 2 hours and 27 minutes.

 

Social media use has advantages including staying connected with friends and family, getting local and national news for free, and learning new things from respected thought leaders. It also has some downsides including time-use and privacy concerns and associations with anxiety and poor mental health. It can also connect people to do bad things and is a gold mine for scammers.

 

Below are some things to know about negative social media content to avoid being victimized:

Gateway to Fraud- A Federal Trade Commission (FTC) report notes that more than 1 in 4 people who reported losing money to fraud in 2021 said it started on social media (an ad, post or message). Those age 18-39 were more than twice as likely as older adults to report a loss.

 

Investment Scams- More than half of people who reported losses to investment scams, particularly those involving cryptocurrencies, said that they started on social media. Fraudsters often use social media to promote worthless securities and bogus investment opportunities.

 

Romance Scams- FTC data indicate that, after investment scams, romance scams are the second most profitable fraud on social media. More than a third of people who said they lost money to an online romance scam in 2021said it began on Facebook or Instagram.

QR Code Scams- QR codes, first invented in 1994, are often placed in social media posts to connect fraud victims to phony links or malware. In fact, the FBI issued a warning about QR code scams in early 2022. QR scanner apps are available to check for dangerous links.

Dark Patterns- These are tricks that make online users do things they did not mean to do. While not illegal, they can be costly and aggravating and may originate with social media. Examples include free trials that switch to a payment scheme without warning, hidden costs or random items added at checkout, and deliberate misdirection to a more expensive option.

Demographic Differences- Dark patterns with deceptive icons, buttons, and links place a particular burden on already marginalized groups (e.g., low income groups, people of color, people with poor language skills, and people with low digital literacy).

In summary, we are influenced in one way or another. The key is being aware of the different ways that social media can be used to trick or defraud people.

This post provides general personal finance or consumer decision-making information and does not address all the variables that apply to an individual’s unique situation. It does not endorse specific products or services and should not be construed as legal or financial advice. If professional assistance is required, the services of a competent professional should be sought.