How to Outsmart AI Fraud and Scams

Synthetic identity fraud occurs when scammers combine real information, such as your Social Security number, with fake details, like a made-up name, to create a new identity. It’s one of the fastest-growing types of financial crime.

Fraudsters use these fake identities to open bank accounts or credit cards in your name.

If a scammer uses your Social Security number with a fake identity, it can damage your credit score and make it harder for you to get approved for credit or loans under your real name.

Deepfakes are AI-generated videos, photos, or audio recordings that look and sound real but aren’t. Scammers use them to impersonate people you trust.

Common deepfake scams include:

• Fake celebrity endorsements: Videos of famous people promoting bogus investment schemes.
• Family emergency calls: Voice-cloned relatives claiming they need money urgently. For example: “Mom, I’ve been in a car accident and need you to wire money right away.”
• Executive fraud: Videos or calls impersonating company leaders requesting wire transfers.

AI makes phishing scams more convincing by creating personalized emails and text messages that use your name and sound real. These messages exploit your emotions and mimic legitimate companies to trick you into sharing passwords, bank account numbers, or other sensitive information.

AI scams aren’t perfect – they leave clues. Here are the red flags to watch for in videos, voice calls, and messages.

Red flags in videos and images

AI often struggles with details. Look closely at hands, fingers, and ears – they might look distorted, blurry, or have too many digits. Watch the person’s mouth in videos. If the audio doesn’t match their lip movements or if the lighting looks unnatural, it could be a deepfake.

Red flags in voice calls

Voice cloning can sound scarily real, but it’s not perfect. Listen for robotic tones, unnatural pauses, or odd pronunciations. Also, be suspicious of emotional manipulation. Scammers often try to make you panic, so you act without thinking.

Red flags in messages and emails

AI can write emails, but they often feel generic. Watch out for messages that don’t use your name or use stiff, formal language that doesn’t sound like the person or company they claim to be. Typos and bad grammar are also major red flags.

You can avoid AI-driven scams by learning the tactics criminals use to access your personal information. Take proactive steps, secure your accounts, and stay informed.

Verify before you trust

Always verify the identity of anyone requesting money or sensitive information. Even if they sound like someone you know, it could be AI-generated.

When in doubt:

• Get a callback number and verify it’s legitimate before calling back.
• Let unknown calls go to voicemail, then verify the caller’s identity independently.
• Hang up and call the company’s official number from their website – never use contact info from the suspicious message.

Use strong, unique passwords

A strong password is crucial for online safety. Follow these tips for your passwords:

• Create complex passwords: Combine uppercase and lowercase letters, numbers, and symbols.
• Never reuse passwords: Each account should have its own unique password.
• Use a password manager: Password managers generate strong passwords and store them for you, so you don’t need to remember them.

Turn on multi-factor authentication (MFA)

Multi-factor authentication requires at least two verification factors to log in – such as entering your password and a single-use code sent to your phone. This makes it much harder for scammers to access your accounts.

Enable MFA on your online banking, email, and social media accounts. You’ll receive a six-digit code via text for your Chime^® account whenever you log in.

Protect your personal information

Limit what you share on social media – details like your birthday, address, or mother’s maiden name can help scammers steal your identity. Here are other ways to keep your information safe:

• Shred documents containing sensitive information before throwing them out.
• Use encryption tools to protect your digital files.
• Enable password protection on all your devices.

Remember: Chime does not ask for your personal information unless you’ve already contacted customer support.

Be wary of calls and emails asking for money

Any unsolicited request for money is a red flag. Urgency is a common fraud tactic – scammers want you to act before thinking.

Protect yourself by:

• Deleting suspicious messages immediately.
• Hanging up and calling back on a verified number.
• Never clicking links or downloading attachments from unknown senders.

Monitor your accounts regularly

Regular monitoring helps you catch fraud early. Here’s what to check:

• Monthly statements: Look for unauthorized charges or inaccuracies.
• Account alerts: Enable notifications for suspicious activity or large transactions.
• Credit reports: Review regularly for unauthorized accounts or inquiries.

What companies are doing to fight AI fraud

Financial institutions are fighting back with AI-powered fraud detection systems. Chime uses artificial intelligence to monitor suspicious activity and educate members about AI scams, helping protect your accounts before fraud happens.

If you suspect an AI scam, act fast. Here’s your step-by-step response plan.

Steps to take immediately

Stop all communication immediately:

• Hang up the phone
• Don’t reply to texts or emails
• Don’t click any links
• End video calls right away

The longer you engage, the more information scammers can gather from you.

How to verify if something is legitimate

Always verify independently:

• Family emergencies: Call the person back using their known phone number.
• Company requests: Hang up and call the official number from their website or your debit/credit card.
• Caller ID: Never trust it – scammers can fake this information.

Where to report AI scams

If you shared information or sent money, take these steps:

• Contact your financial institution immediately to secure your accounts.
• Report the scam to the FTC at ReportFraud.ftc.gov.
• Learn more about reporting fraud and scams.

Reporting helps protect others from falling victim to the same scam.

AI scams are getting more sophisticated, but you’re not powerless. By recognizing red flags, verifying requests before responding, and securing your accounts with strong passwords and multi-factor authentication, you can protect your money and information.

Remember: legitimate companies and family members won’t pressure you to act immediately. When something feels off, trust your instincts, slow down, and verify before you respond.

To further strengthen your digital security, check out our guide on how to protect yourself from online scammers.