Scammers are getting smarter. Here are their most common tricks

Salon - Apr 2nd, 2025

In 2023, American consumers suffered unprecedented losses exceeding $10 billion due to various fraud schemes, according to recent Federal Trade Commission data. This marks the highest total ever recorded, as scammers increasingly exploit advanced technologies like AI to enhance the credibility of their deceptions. Key fraud types include AI-driven impersonation, phishing, crypto scams, tech support fraud, and romance scams, with romance scams alone accounting for $1.14 billion in losses. Experts warn that the sophistication of these scams makes them difficult to detect and urges consumers to stay vigilant and adopt protective measures.

The increasing use of AI in fraud schemes signifies a troubling trend that complicates fraud prevention efforts. AI's ability to generate convincing deepfake audio and video content poses significant challenges for consumers trying to discern legitimate communications from scams. With the rise in investment and cryptocurrency scams showing a stark increase in reported losses, the implications for consumer financial security are profound. Experts recommend strategies like enabling two-factor authentication, using password managers, and practicing cautious online behavior to mitigate risks. The story underscores the urgent need for heightened awareness and proactive measures to protect personal and financial information in an evolving digital landscape.

Fraud Federal Trade Commission Cybersecurity Phishing Pete Nicoletti Romance Scams Ai Driven Impersonation Deepfake Scams Cryptocurrency Scams Tech Support Scams Alexander Hall Jacob Kalvo

Story submitted by Fairstory

RATING

7.2

Fair Story

Consider it well-founded

The article provides a comprehensive overview of various financial frauds, supported by expert insights and practical advice. It excels in clarity, timeliness, and public interest by addressing a relevant and pressing issue. However, the lack of direct citations for statistical claims and the limited range of perspectives slightly undermine its accuracy and balance. The use of credible expert opinions enhances the article's authority, but greater transparency in sourcing would bolster its reliability. Overall, the article effectively informs and engages readers on the topic of financial fraud, offering valuable strategies for protection while highlighting the evolving nature of scams.

Accuracy

The story provides a detailed account of various types of financial frauds, supported by statements from experts like Alexander Hall and Pete Nicoletti. It accurately reports on the increasing sophistication of scams using AI, as well as the rise in fraud losses as reported by the FTC. However, specific figures such as the $10 billion loss to fraud in 2023 and the cryptocurrency fraud figures require verification from official sources like the FTC and the Internet Crime Complaint Center. The story is generally truthful and precise, but it relies heavily on expert opinions without providing direct citations for the statistical claims.

Balance

The article presents a balanced view of the issue by covering multiple types of scams and offering perspectives from different experts in cybersecurity and fraud prevention. However, it could benefit from including perspectives from victims of fraud or law enforcement agencies actively working on these cases. The focus is primarily on the technical aspects of scams and prevention strategies, which may overlook the human impact and emotional toll on victims.

Clarity

The article is well-structured and written in clear, accessible language. It logically flows from one type of scam to another, making it easy for readers to follow. The use of subheadings like 'Most common financial frauds' and 'How to protect yourself' helps organize the information effectively. The tone is neutral and informative, which aids comprehension.

Source quality

The article includes input from credible experts like Alexander Hall and Pete Nicoletti, enhancing its authority. However, it lacks direct citations from primary sources such as the FTC or the Internet Crime Complaint Center, which would strengthen its reliability. The use of expert commentary is valuable, but the absence of a broader range of sources, such as official reports or academic studies, limits the depth of the analysis.

Transparency

The article provides clear explanations of various fraud types and prevention strategies, but it lacks transparency in sourcing its statistical data. The methodology behind the reported figures is not disclosed, and there is no indication of potential conflicts of interest among the experts quoted. Greater transparency in sourcing and methodology would improve the article's credibility.