AI Wealth Scams You Should Know and How to Avoid Them

Artificial intelligence (AI), as a tool, has various applications that have become commonplace for the average person. However, as AI grows in popularity, so does the opportunity for scammers to exploit it. Here are some of the AI wealth-driven scams investors should be aware of.

Deepfake Impersonation

In 2024, there was a 3000% increase in AI-generated deepfakes. Scammers use AI to impersonate trusted professionals and loved ones.

In some cases, investors receive video messages that appear to be from a trusted professional or known family member or friend, voicemails that sound like someone you know asking for urgent money transfers, or meeting invites that look real but aren’t.

Because these messages feel familiar and personal, they might cause someone to

Be on the lookout for:

• unexpected urgency around money movement
• slight changes in communication style
• payment instructions sent outside established channels

To avoid this scam, you can call your professional directly to verify the information you’ve received. With family or friends, create a password only they would know and verify it via phone call or text.

Generative AI investment schemes

According to the FTC, consumers reported losing $5.7 billion to investment scams in 2024.

AI tools can produce professional-looking reports almost instantly. Because of this, scammers are using them to create fake investment opportunities, which often promise high ROI with little risk. They create urgency by saying there is a deadline, and investors must act immediately.

If something sounds too good to be true, it usually is. To avoid this scam, use tools like FINRA’s BrokerCheck or the SEC database to verify information and research brokers and firms.

AI phishing emails are harder to spot.

The clumsy phishing email is rapidly becoming a thing of the past. Thanks to AI, scammers can craft a polished, professional email in seconds. By crawling public information from social media, company websites, and online activity to create messages tailored specifically to you, it’s harder to know that the email is fake.

Be on the lookout for:

• suspicious links or attachments
• subtle spelling differences in sender email addresses and/or domain names
• requests for login credentials or verification codes

To avoid this scam, always confirm requests through a second communication method before responding.

Protect yourself against AI wealth-driven scams

You can prevent scam activity by implementing security protocols, such as multi-factor authentication or account alerts. Don’t answer calls or respond to texts you don’t know. Talk to your financial advisor about putting safeguards in place for your portfolio or for large money transfers.

If you’d like help reviewing the safeguards already in place for your accounts, or putting additional protections in place, we’re here to help. Contact us today.

Sincerely,

The Team at Chatterton & Associates