Fraud in Everyday Life: Common Scams and How to Seek Redress

This page is a translation of the original Portuguese text, provided for convenience. It deals with Brazilian law. If there is any discrepancy, the Portuguese version prevails. Read the original in Portuguese

Fraud (estelionato) is among the most common property crimes in Brazil, and it has taken on new life as online shopping has expanded. The offense consists of obtaining an unlawful advantage by deceiving the victim, and proving it depends on specific elements that set it apart from a simple commercial disagreement. Understanding where that line falls is crucial for anyone who has been harmed and wants to recover their losses.

What makes an act the crime of fraud

Fraud is defined in Article 171 of the Brazilian Penal Code. It punishes anyone who obtains an unlawful advantage, for themselves or for someone else, at another person’s expense, by inducing or maintaining someone in error through a trick, a ruse, or any other fraudulent means. The penalty is one to five years of imprisonment, plus a fine.

Three elements must be present at the same time. The first is fraud itself: a deliberate deception used to mislead the victim. The second is inducing or maintaining the person in error, which means the victim believes something false and acts on that belief. The third is obtaining an undue advantage that causes the victim a financial loss.

The intent to deceive must exist from the very beginning of the relationship. Someone who creates a false situation in order to receive money they never intended to repay commits the crime. That intent to defraud, already present when the offender first contacts the victim, is what separates criminal conduct from a purely civil problem.

The most common variations in practice

Fake sales are among the most frequent types. The scammer advertises a product that does not exist or will never be delivered, takes the payment, and disappears. Fake social media profiles, phantom online stores, and ads on classified listing platforms are the typical settings for this kind of fraud.

Improper charges also fall within the crime when a fraudulent device is involved. Examples include fake payment slips (boletos) sent by message, invoices for services you never ordered, and phone calls in which the criminal poses as a bank employee to trick the victim into making transfers. In these situations, deception is the central tool for taking the victim’s money.

There is also fraud committed using another person’s documents or data. Opening accounts under someone else’s identity, taking out a loan in another person’s name, and misusing cloned cards are examples that combine financial fraud with a violation of personal data. The digitization of everyday transactions has widened the reach of these schemes and made investigations more complex.

The Penal Code also provides for specific forms, such as fraud by payment with a bad check and fraud committed against elderly people, for which the penalty is increased. The victim’s vulnerability is taken into account when the punishment is set.

Criminal fraud versus breach of contract: the difference that changes everything

Not every financial loss results from a crime. A supplier that delivers late, a company that provides a service of lower quality than promised, or a client who stops paying because of financial difficulty is, as a rule, simply in breach of contract. That is a matter for the civil courts, where you can seek termination of the contract, a refund, and damages for losses.

The dividing line is fraudulent intent that existed before the deal. If the person had the means and the will to perform but failed to do so because of later circumstances, there is no fraud. If, on the contrary, the deal was set up from the start as a trap to obtain money with nothing real in return, the crime is established.

This distinction has significant practical consequences. The criminal route involves filing a police report, a police investigation, and possibly a criminal case brought by the Public Prosecutor’s Office. The civil route goes directly after restoring the victim’s assets, focusing on the return of the money and compensation for the harm suffered.

In most cases, both routes can be pursued at the same time. Holding the offender criminally liable does not prevent the victim from filing a lawsuit to recover the loss, and a criminal conviction can even strengthen the claim for compensation.

The intent to deceive from the very first contact is the line that separates the crime of fraud from a simple breach of contract.

Knowing which side of that line your case falls on helps you avoid frustration. Reporting a legitimate commercial disappointment as a crime usually ends in the case being dismissed, while treating a structured fraud as a mere delay makes the victim lose precious time and, often, the chance to trace the money.

How to recover your losses after a scam

The first step is to preserve the evidence. Screenshots of conversations, proof of payment, ads, contracts, e-mails, and protocol numbers should be gathered and organized. These items support both the criminal investigation and the lawsuit for compensation, and their absence is the main reason cases go nowhere. The more complete your evidence, the stronger the account you present to the authorities and the less room there is for doubt that a fraud took place.

File the police report as soon as possible, either in person or through the online police stations available in most states. The report formally notifies the authorities of the crime, triggers the police investigation, and creates an important point in time for the other steps you will take.

When the scam involves bank transfers, notifying the financial institution immediately is essential. For instant payments, there is a mechanism for blocking and returning funds that can be triggered within a short window when there are signs of fraud. Speed significantly improves the chance of recovering the money before it is scattered across other accounts.

On the civil side, the victim can file a lawsuit to demand the return of the money and seek compensation for moral and material damages. When the loss arises from a consumer relationship, such as purchases from online stores, the Consumer Protection Code (Código de Defesa do Consumidor) offers additional protection, including easier ways to produce evidence and the possibility of holding liable the platform that brokered the transaction.

Working with a lawyer from the start helps you define the right strategy, gather the proper documentation, and choose between the criminal route, the civil route, or both. Professional guidance is also decisive for assessing your real chances of recovery and for meeting deadlines, which vary depending on the nature of the claim. Every day of delay reduces the chances of locating the person responsible and tracing the diverted funds before they disappear.

Frequently Asked Questions

Does someone who doesn’t pay a debt commit fraud?

Not necessarily. Simply failing to pay a debt or breaching a contract is, as a rule, a civil default, resolved through collection and compensation. Fraud exists only when there is deception and the intent to deceive was present from the start of the relationship, with the person never intending to keep the agreement.

Can I recover money lost in an internet scam?

Yes, although it depends on how fast you act and on the circumstances. For instant payments, there is a blocking and refund mechanism that can be triggered within a short window when there are signs of fraud. In addition, the victim can seek compensation in court, and in purchases from online stores, the platform that brokered the sale may also be held liable for the loss.

Do I need to file a police report to sue the scammer?

The police report is fundamental on the criminal side, because it formally notifies the authorities of the crime and triggers the investigation. For a compensation lawsuit in the civil courts, it is not mandatory, but it serves as relevant evidence. The best approach is to file the report and, at the same time, gather all the documentation that proves the deception and the loss you suffered.

As informações deste artigo são de caráter informativo e não substituem consulta jurídica individualizada. Cada caso possui particularidades que exigem análise específica.