Lottery & Sweepstakes Scams
Last updated September 18, 2026
The short answer
You got a call, letter, email, or text saying you won a lottery, sweepstakes, or prize. But to collect your winnings, you need to pay taxes, fees, or shipping costs upfront. Real lotteries and sweepstakes never ask winners to pay to collect their prize.
How it works
- 1
You're told you won
You get an exciting message saying you won a lottery, a sweepstakes, or a big cash prize. They might claim to be from Publisher's Clearing House, a foreign lottery, or a well-known brand.
- 2
There's a catch: you need to pay first
"You just need to pay taxes upfront." "There's a processing fee." "Send $500 for insurance on the shipment." This is always the scam.
- 3
The fees keep growing
You pay one fee, but then there's another. And another. "Customs fees." "Legal clearance." They keep stringing you along because you're already invested.
- 4
The prize never comes
There is no prize. There never was. The scammers are collecting fees from hundreds of people at the same time.
Warning signs
- You won a contest you never entered
- You have to pay money to receive your "winnings"
- They claim to be from a foreign lottery (it's illegal to play foreign lotteries by mail or phone)
- The check they sent you for your "winnings" turns out to be fake
- They want you to keep the win secret
- They ask for your bank account details to "deposit your winnings"
- The notification comes by text, email, or social media (not official mail)
What it looks like
"You won the Jamaican lottery!"
A caller says you won $1.5 million in a Jamaican lottery. You just need to wire $2,500 for "taxes." After you pay, they call again: another $3,000 for "insurance." Over six months, a victim sends $25,000 in fees. No prize ever arrives.
"Publisher's Clearing House" at your door
Someone claims to be from PCH and says you won $2 million. They just need a $500 "processing fee" in gift cards before they can deliver the check. Real PCH delivers prizes in person with no fees and a camera crew.
A fake check for "winnings" plus extra
You get a letter with a check for $4,500, saying you won $50,000. They tell you to deposit the check and wire back $3,000 for "taxes." The check bounces after a few days and you're out $3,000 plus bank fees.
What to do
- Stop all communication with them.
- Don't pay any fees, taxes, or shipping costs. A real prize never costs money to collect.
- Don't cash any checks they send you. They're fake and you'll be responsible for the amount.
- If you gave them your bank info, call your bank and ask them to monitor for unauthorized access.
- Report it to the FTC and your state Attorney General.
- If the scam came by mail, report it to the U.S. Postal Inspection Service.
Who gets targeted
Lottery scams disproportionately target older adults. Scammers often call the same victims repeatedly, building a relationship over time and extracting more money with each "fee."
The excitement of winning something can cloud anyone's judgment. That's the point of the scam.
By the numbers
- $194 million lost to lottery, sweepstakes and inheritance scams in 2025
- FBI IC3, 2026
- $136 million of that was lost by people 60 and over
- FBI IC3, 2026
- It's illegal for Americans to play foreign lotteries by mail or phone
- US Postal Inspection Service
Companies used in lottery & sweepstakes scams
These are the brands scammers hide behind in this scam. Each guide covers what that company will never ask you for, and how to report it to them directly.