As you navigate the digital landscape, it is vital to remain vigilant about the evolving fraud risks posed by Artificial Intelligence (AI). Scammers have embraced AI technology because it allows them to analyze large amounts of data quickly, identify potential targets more efficiently, and personalize their scams to appear genuine. This increases their chances of success.
By equipping yourself with the right knowledge and skills, you can mitigate many of these risks. Staying informed about the latest scams and fraud tactics is key to improving your ability to detect potential risks before they ensnare you. Here are some of the most common AI-driven scams you should watch out for:
Common AI-Driven Scams
Phishing Scams
Phishing scams are a long-standing strategy that has become even more effective with AI. Scammers use AI to craft convincing emails or messages that impersonate reputable organizations. For instance, you might receive an email that looks like it’s from your bank, asking you to update your account details by clicking a link. While the email and website might look legitimate, they are designed to steal your login credentials.
Imposter Scams
Imposter scams involve fraudsters posing as trusted individuals or organizations, such as government agencies or utility companies. AI enables scammers to mimic voices, making them sound authentic and convincing. For example, you might receive a call from someone claiming to be from the IRS, pressuring you to provide personal information or make immediate payments. Remember, the IRS will never call you to demand immediate payment.
Tech Support Scams
Tech support scams trick individuals into granting access to their devices or paying for unnecessary services. Scammers may use pop-ups or phone calls to claim your computer is infected. They’ll urge you to call a toll-free number for assistance, but their goal is to separate you from your money.
Grandparent Scams
Grandparent scams exploit emotions by pretending to be a family member in distress. AI allows scammers to research and personalize their approach, making their claims more believable. For example, you might get a phone call from someone claiming to be your grandson, asking for money to get out of jail. In most cases, this is a scam.
Deepfake Scams
Deepfake technology is a growing concern. Scammers use AI to manipulate videos or images, creating realistic but fraudulent content. They may impersonate celebrities or public figures to promote fake investments or scams. For instance, you might see a video of a well-known person encouraging you to invest in a new opportunity. Despite its realism, it could be entirely computer-generated.
Malware Attacks
AI-powered malware attacks are becoming more sophisticated, making them harder to detect. Scammers use AI to create intelligent malware that evades traditional security measures and exploits vulnerabilities in computer systems or networks. For example, you might download an innocent-looking file, only to have malware infiltrate your computer in the background.
How to Protect Yourself
Protecting yourself from AI-driven fraud requires a combination of awareness, caution, and education. Here are some tips to help you stay safe:
- Be Wary of Unsolicited Requests: Avoid sharing personal information, making immediate payments, or granting access to your devices based on unsolicited emails, calls, or pop-ups.
- Verify Identity Independently: Use official contact information from trusted sources to confirm the authenticity of any request. Do not rely solely on the information provided by the caller or email.
- Stay Informed: Keep up to date with the latest scams and fraud tactics. Knowledge is your first line of defense against falling victim to these schemes.
- Use Security Software: Install and regularly update reputable antivirus and anti-malware software to protect your devices from AI-powered threats.
- Educate Others: Share your knowledge with friends and family, especially those who may be more vulnerable to scams, such as older adults.
Why Staying Vigilant Matters
AI has transformed the landscape of fraud, making it more sophisticated and harder to detect. However, with awareness and the right precautions, you can stay ahead of scammers and safeguard your financial well-being.
Take Action Today
Ready to strengthen your financial security? Schedule a discovery call with one of our lead advisors today. Together, we’ll review your financial situation, estate plan, and goals to create a comprehensive strategy that safeguards your assets and prepares you for the future.
Sources
- AARP. “Phishing.” Aarp.Org, 2 Sept. 2021, www.aarp.org/money/scams-fraud/info-2019/phishing.html. Accessed 14 Jul. 2023.
- Federal Trade Commission: Consumer Advice. “Imposter Scams.” Consumer.Ftc.Gov, 18 May 2016, consumer.ftc.gov/features/imposter-scams. Accessed 14 Jul. 2023.
- Waterman, Genevieve. “The Top 5 Financial Scams Targeting Older Adults.” National Council on Aging, 27 Jul. 2022, www.ncoa.org/article/top-5-financial-scams-targeting-older-adults. Accessed 14 Jul. 2023.
- Waterman, Genevieve. “The Top 5 Financial Scams Targeting Older Adults.” National Council on Aging, 27 Jul. 2022, www.ncoa.org/article/top-5-financial-scams-targeting-older-adults. Accessed 14 Jul. 2023.
- AARP. “Tech Support Scams.” Aarp.Org, 1 Apr. 2022, www.aarp.org/money/scams-fraud/info-2019/tech-support.html. Accessed 14 Jul. 2023.
Raymond James does not provide tax or legal services. Please discuss matters with the appropriate professional. Information provided by Oechsli. The foregoing information has been obtained from sources considered reliable, but we do not guarantee that it is accurate or complete. It is not a statement of all available data necessary for making an investment decision, and it does not constitute a recommendation. Any opinions are those of Voyager Wealth Advisors and not necessarily those of Raymond James.
