Scam Losses Surge Globally as AI Fuels Sophisticated Online Fraud

Scams are rising sharply in 2024, with American consumers losing billions to increasingly sophisticated online frauds, including AI-driven deepfake scams and social engineering tactics. Scammers exploit various platforms such as social media, phone calls, and dating apps, often pressuring victims to act urgently or lie, with many targeting younger individuals under 50. Specific scams include fraudulent car wrap schemes where victims are tricked into paying for vehicle advertising that never materializes, and scams involving gift card payments demanding victims pay supposed service providers or acquaintances, which is a common red flag. Victims have reported emotional manipulation, especially in online friendship or relationship scams, where scammers build trust before requesting money through gift cards or wire transfers. The Better Business Bureau advises verifying companies’ legitimacy, never paying with gift cards, and being wary of urgent payment demands, emphasizing that genuine companies do not request gift cards for payment. To protect themselves, consumers should look for signs of scams, avoid sharing personal information, and report suspicious activity to trusted organizations like the BBB.