Medicare Scam Ads Earned Meta Millions on Facebook
Meta generated millions of dollars in revenue from advertisements tied to Medicare scams that targeted older Americans, according to a new report from the Center for Countering Digital Hate (CCDH).
The ads, which appeared on Facebook and other Meta platforms, promoted supposed government-backed benefits, such as grocery allowances or cash payments, that were often misleading or entirely false.
Why It Matters
Medicare scams are among the most common forms of fraud targeting seniors, and social media is now a key distribution channel.
Older Americans may struggle to distinguish legitimate Medicare offers from fake ones due to the Medicare's complexity, and paid ads can amplify scams by allowing bad actors to precisely target seniors.
If seniors fall for it, the fraud can lead to identity theft, financial losses or even disruption of their healthcare coverage.
What To Know
The new report from CCDH examined activity across Meta's advertising platform and found widespread evidence of Medicare-related scams.
Researchers analyzed more than 90,000 ads from Meta's Ad Library and identified tens of thousands of ads linked to Medicare scammers using deceptive tactics.
In all, scam campaigns generated about 215 million impressions in a one-year periodand Meta earned an estimated $14.3 million in revenue from these ads.
Many of the ads promised "free benefits," including grocery cards, flex cards, or monthly allowances, frequently using urgency or official-looking messaging to prompt clicks.
"Medicare rules can be complicated, seniors can be anxious about rising costs, and social media can provide scammers a massive audience that can be targeted with official-looking ads," Alex Beene, a financial literacy instructor for the University of Tennessee at Martin, told Newsweek. "For Facebook’s parent company Meta, the challenge is in creating a stronger screening process, faster removal, and tougher enforcement against repeat offenders."
Newsweek reached out to Meta for comment via email.
How the Scams Worked
According to the report, scammers relied on a consistent set of tactics to build credibility and drive engagement:
- Fake government branding and ads designed to look like official Medicare programs
- False promises of thousands of dollars in benefits for groceries, rent or gas
- Fabricated or AI-generated endorsements from celebrities and public figures
- Urgent deadlines and messaging that pressured users to act immediately
In many cases, users who clicked were asked to submit personal data or were redirected into Medicare plans that offered worse coverage than their existing benefits.
"These weren’t new fraudsters slipping through the cracks. They were repeat offenders. Scammers whose ads had already been removed and who came right back and bought more," Michael Ryan, a finance expert and the founder of MichaelRyanMoney.com, told Newsweek.
"Is that an accident? No. Sounds more like their business model. Meta’s defense is that they removed 160 million scam ads last year. On paper, that sounds impressive. In real life though? They kept the $14 million anyway. You don’t get credit for cleaning up a mess you’re being paid to create."
Meta's Response
Meta has pushed back against the report's conclusions, saying it is actively working to combat scam advertising.
The company has said it removes large volumes of fraudulent ads and utilizes automated systems and human reviewers to detect violations. However, scammers continually evolve their tactics, making enforcement an ongoing challenge.
“Scammers are determined criminals who use increasingly sophisticated tactics to defraud people and evade detection on our platforms and across the internet," a Meta spokesperson previously told CyberGuy.
"We aggressively fight scams on and off our platforms because they’re not good for us or the people and businesses that rely on our services. We removed over 159 million scam ads last year alone – 92 percent of which we took down before anyone reported them – launched new tools to protect people, and partnered with law enforcement around the globe to disrupt these criminals.”
Political and Legal Pressure Mounts
Lawmakers have previously called for investigations into whether Meta profits from fraudulent advertising.
Last year, Senators Josh Hawley (R-Mo.) and Richard Blumenthal (D-Conn.) sent a letter to to Federal Trade Commission (FTC) Chair Andrew Ferguson and Securities and Exchange Commission (SEC) Chair Paul Atkins to "investigate and, if appropriate, bring enforcement actions against Meta for its facilitation of and profiting from criminal investment scams, fake government benefits schemes, deepfake pornography, and other fraudulent activities."
Ryan said Facebook is "uniquely dangerous" as the platform’s own targeting tools let scammers laser focus on adults 65 and older.
"Celebrity deepfakes of Oprah promising “free grocery benefits“. Government impersonation. Fake Medicare Advantage upgrade offers. All algorithmically delivered to the most vulnerable audience on the internet. Our parents," Ryan said.
"A senior who hands over their Medicare number to a scammer doesn’t just lose money. They risk fraudulent claims filed in their name, benefits that get exhausted before they need them, and months of bureaucratic hell trying to clean it up."
What Happens Next
The new report is likely to intensify regulatory pressure on Meta and similar platforms.
Possible next steps could include:
- Federal investigations by agencies such as the FTC
- New legislation requiring stricter ad verification and removal standards
- Increased enforcement around Medicare-related marketing practices
Moving forward, experts say seniors should verify any Medicare-related offers directly with official sources before sharing personal information or enrolling in a plan.
"For seniors, the best protection is to assume any Medicare offer seen in a social media ad is suspicious, never share a Medicare or Social Security number through an ad or unsolicited call, and verify benefits directly through Medicare or their insurer," Beene said.
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This story was originally published June 1, 2026 at 2:51 PM.