Report a
lottery or sweepstakes scam.
Fake prize notifications are one of the most common scams in America, accounting for over 38% of all fraud reports to Fraud.org. Whether it's a call claiming you won a lottery, an email about a sweepstakes you never entered, or a text about an unclaimed prize — if you have to pay to collect your "winnings," it's a scam. Every time.
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How lottery and sweepstakes scams work — the most common fraud in America
Lottery and sweepstakes scams are the single most reported fraud category in America, according to Fraud.org, making up over 38% of all fraud complaints. The FTC reported $301 million in losses to prize scams in 2023, with elderly Americans disproportionately affected. The scam has been around for decades because the basic formula works: tell someone they won money, then ask them to pay a small amount to "release" it.
The contact usually comes via phone call, though email, text, and social media variants are growing. The caller claims you've won a lottery, sweepstakes, or giveaway — sometimes impersonating real organizations like Publishers Clearing House. But to collect your prize, you need to pay "taxes," "processing fees," or "insurance." These fees typically start at a few hundred dollars and escalate. Some victims have paid tens of thousands of dollars in repeated fees, always being told the prize is almost ready.
The rule that never fails
You cannot win a contest you did not enter. Legitimate sweepstakes never require you to pay anything to claim a prize — it's actually illegal under U.S. law. If someone asks you to pay money to receive money, that is a scam. No exceptions. Real prizes are reported on your tax return after you receive them; the "taxes" aren't paid upfront.
A common variant is the "fake check" scam: you receive a check for your "winnings" along with instructions to deposit it and wire back a portion for "taxes." The check appears to clear, you send the money, and then the check bounces days later — leaving you responsible for the full amount. Banks can take weeks to identify a fraudulent check, and you are legally responsible for any funds you withdraw against it.
Who is targeted and why it works
Prize scams disproportionately target elderly Americans, with 87% of contacts occurring via phone call. Scammers often build ongoing relationships with victims, calling regularly and building trust before introducing the "prize." Some victims report being contacted by the same scammer for months, with the relationship evolving to include emotional manipulation. If you suspect an elderly family member is receiving these calls, have a direct conversation — they may be embarrassed and hiding payments they've already made.
Where else to report
File in multiple places to maximize impact:
- →FTC — reportfraud.ftc.gov — the primary federal agency for prize and sweepstakes fraud
- →FBI IC3 — ic3.gov — if you've lost significant money or the scam involves international callers
- →National Do Not Call Registry — donotcall.gov — register your number to reduce scam calls
- →Your state Attorney General — many states have elder fraud units that investigate prize scams
Related scam types
Scammers often combine tactics. If this looks familiar, check these too: