Articles

Artificial intelligence is giving scammers new ways to trick people, making fraud more convincing and harder to spot. From deepfake video calls to cloned voices of loved ones, these scams circumvent traditional warning signs and exploit human emotions. Losses are soaring, and consumer fraud cost U.S. families $16.6 billion in 2024, putting everyone at risk, especially the elderly and children. Awareness and prevention are now more critical than ever.

Who is at risk?
Bank customers of all ages are increasingly vulnerable to AI-driven scams. Families, especially those with elderly members or children, are prime targets due to their emotional responsiveness and lack of technical defenses. According to JPMorgan Chase, fraud cost its consumer bank $500 million in 2024, excluding cases where customers were tricked into authorizing transactions ^[1].

What are AI scams?
AI scams use artificial intelligence to mimic trusted voices, faces, and institutions. These include deepfake video calls impersonating bank staff, voice cloning of loved ones, and hyper-personalized phishing emails that appear to come from your bank ^{[2] [3]}. Criminals exploit public data and financial alerts to trigger panic responses, bypassing skepticism ^[4].

Where do these threats emerge?
They infiltrate everyday digital channels, such as emails, texts, social media, and even spoofed calls from local bank branches. Scammers now replicate bank branding, use realistic caller IDs, and reference recent transactions to build credibility ^[4].

When should families act?
Now. AI scams are no longer theoretical...they’re operational. In one case, a Hong Kong employee was tricked into wiring $25 million after attending a deepfake video call with fake colleagues^[2]. The banking industry is seeing a surge in such incidents, with consumer fraud losses reaching $16.6 billion in 2024^[4].

Why is future-proofing essential for banks and their customers?
AI has eliminated traditional scam red flags like poor grammar or generic messaging. Banks must now help customers recognize more subtle threats. The emotional manipulation enabled by AI makes scams more convincing and harder to detect ^[1]. As a trusted financial institution, we have a responsibility to educate and empower families to defend themselves.

What else can families do with their bank’s support?

1. Use Multi-Factor Authentication (MFA): Enable MFA on all bank accounts to prevent unauthorized access ^[5].
2. Verify Communications: Always call your bank using the number on your statement or card and avoid using links or numbers in messages ^[5].
3. Establish Safe Words: Create a family “safe word” to verify identity during emergencies or suspicious calls ^[3].
4. Limit Oversharing: Avoid posting personal details online that scammers can use to tailor attacks.
5. Enroll in Alerts: Use your bank’s fraud alert services to monitor suspicious activity in real time.

What other actions are banks taking?
Leading banks are deploying AI-based fraud detection systems that analyze customer behavior and flag anomalies in real time^[7]. Some institutions are integrating post-quantum cryptography to prepare for future threats^[6]. Others are investing in customer education campaigns and digital literacy programs to build resilience ^[1].

How can families and banks work together?
Banks must go beyond compliance and foster a culture of cybersecurity awareness. This includes offering workshops, publishing scam alerts, and training staff to recognize and respond to AI threats. Families should engage with these resources, report suspicious activity promptly, and treat cybersecurity as a shared responsibility.

References

^{[1] AI Cyber Threats Put Consumers' Trust In Banks At Risk - Forbes}

^{[2] AI is a major tool for bank scams. Here’s what you should know | Fortune}

^{[3] AI-Powered Scams Target Consumers | FNBO}

^{[4] This JPMorgan Banking Expert Has a Dire Warning About AI Scams: 'Nobody ...}

^{[5] How AI Scams Are Targeting Bank Customers - wisbank.com}

^{[6] Cybersecurity in Banking: From Quantum Threats to AI Fraud | Cognizant}

^{[7] AI in cybersecurity and banking: The new frontier | Crowe LLP}