Skip to main content
3cc065f7079c9279a1689ffe5cfd0aea3896710f
• Feb 27, 2024

Most people have daydreamed about winning the lottery at some point.

Unfortunately, fraudsters use this opportunity to prey on Canadians in what is commonly referred to as a lottery scam.

How the lottery scam typically works

Usually the fraudster will contact potential victims to tell them that they have won a lottery. The victims are then told they need to pre-pay taxes, legal or registration fees to claim their winnings. Fraudsters can contact victims over the phone, email, mail, text message or even through social media.

The promise of a windfall can sometimes blind a victim to the scam. One 2020 report from the Better Business Bureau found that people over the age of 55 are commonly the target demographic of this fraud. Victims in this age group lost an average of $978 to a lottery scam as of 2020. Like other frauds, many victims of lottery scams are too embarrassed to report their losses, so it's hard to know exactly how many people have been defrauded.

To help protect yourself against these types of scams, it's important to remember legitimate lotteries are regulated by laws, and do not require any form of pre-payment to claim winnings.

How to protect yourself

  • If you don’t remember entering the contest you've allegedly won, exercise extreme caution.
  • Remember that you cannot be the winner of a lottery in a foreign country unless you have specifically purchased a ticket in that country.
  • If claiming your prize has a tight deadline, be wary. "Limited time" or urgency is a classic tactic that fraudsters use to pressure and trick their victims.
  • Don't share your personal or financial information with others, including account numbers, PINs and credit card information.
  • If it sounds too good to be true – it usually is.

If you think you've been the victim of a lottery scam

Report it: If you or a family member has fallen victim to a scam, report it to your local police, as well as the Canadian Anti-Fraud Centre.

Talk about it: If you've fallen victim to a scam, or even received a call that sounded like a scam and hung up – tell your story. The more people know about scams, the fewer chances fraudsters have to defraud people.


Want to learn more about your money?
What could be in store for the Canadian economy in 2025?
How to spot – and protect yourself against – distraction theft
How the Bank of Canada’s latest rate cut could impact you

See you in a bit

You are now leaving our website and entering a third-party website over which we have no control.

Continue to site Return to TD Stories

Neither TD Bank US Holding Company, nor its subsidiaries or affiliates, is responsible for the content of the third-party sites hyperlinked from this page, nor do they guarantee or endorse the information, recommendations, products or services offered on third party sites.

Third-party sites may have different Privacy and Security policies than TD Bank US Holding Company. You should review the Privacy and Security policies of any third-party website before you provide personal or confidential information.