The Impact of Financial Literacy on Online Financial Scam Victimization

The rise in online financial scams has raised concerns and highlighted the need for a deeper comprehension of the factors contributing to victimization.This research examines the financial literacy levels among victims and investigates how financial literacy influences the likelihood of falling prey to online financial scams.Data was collected through in-depth interviews with fourteen (14) police officers from Jabatan Siasatan Jenayah Komersial Bukit Aman, who have encountered cases of financial scams and supported by the document analysis involving Police Report.Thematic analysis utilizing Nvivo 12 software was employed to analyze the data.Surprisingly, the study reveals that victims exhibit different levels of financial literacy among the victims which influence the susceptibility to online financial scams.Moreover, the findings able to explore common types of financial scams in Malaysia.Moreover, the study identifies awareness campaigns as a key measure in combating online financial scams.The findings emphasize the importance of financial literacy in determining susceptibility to online scams and provide valuable insights for policymakers, regulators, and enforcement agencies tackling this pervasive issue.