Not that they needed any help, but cybercriminals have benefited greatly from the warp-speed advances of artificial intelligence (AI).
So much so that AI-enabled scams surged 1,210% in 2025, far outpacing the 195% growth in traditional fraud. Projected losses could reach a staggering $40 billion by 2027—a testament to how sophisticated these scams have become and the increasing difficulty of defending against them.
The good news is that financial institutions like SELCO, government agencies, tech giants, security firms, and law enforcement agencies are hard at work devising new ways to combat these types of AI-enabled attacks. In this article, we explore some of the more common AI scams and offer tips on how to detect and protect against them.
Common AI scams
“It might surprise you to learn that AI is not necessarily creating entirely new cybersecurity threats,” said Chelsea Budzko, Information Security Officer at SELCO. “Instead, cybercriminals are using it to make already familiar attacks significantly more efficient, widespread, and convincing.”
Here are a few examples:
- AI-powered phishing emails and texts. If you’ve used an AI assistant like ChatGPT or Microsoft Copilot, you’re well aware of how quickly those tools can kick out full bodies of text, let alone short responses. Scammers use AI to draft emails and texts that sound natural and convincing, like requests from your financial institution or government agency to share sensitive information.
- Deepfake videos and images. A video call from a family member in distress. A virtual interview with a hiring manager at a well-known company. A video conference call with several colleagues. Except none of them are who they say they are. All are examples of how deepfake technology can trick just about anyone, as these real-world examples.
- Voice-cloning scams. Piggybacking deepfake videos and images, criminals can clone someone’s voice by sampling just a few seconds of audio clips posted on social media channels or voicemail to further enhance their scam.
- AI chatbot scams. Whether it’s through customer support at trusted entities like financial institutions, government agencies, or well-known companies, scammers manage fake chatbots to steal login credentials, sign up for new accounts, create fake dating profiles, and much more.
Note: SELCO will never send a link in a text without speaking with you first. In addition, we will never text, call, or email asking for sensitive information, such as your PIN, MFA code, card information, or login credentials.
Tips to recognize and avoid AI scams
Scammers are notorious for pressuring you to act quickly. By taking protective measures before the scams even show up and scrutinizing what you see and hear in the moment, you’ll be able to spot and avoid them more effectively.
“Staying aware of AI-enhanced scams is now an essential part of protecting yourself online,” said Budzko. “But the good news? Your 100% human judgment can stop most AI-enhanced scams cold.”
Here’s how:
- Pause and verify. If you get an urgent request via email, text, or phone/video call, stop, and don’t click any links or commit to anything over the phone. If you’re speaking to them by phone or video chat, hang up immediately and call that person on a known, trusted number.
- Inspect the sender (and what they send). Even as AI-enhanced scams continue to evolve, there’s still the propensity for scammers to use email addresses and links within emails and texts that appear to be legitimate at first glance but contain red flags. Take the time to validate email addresses and inspect links inside the messages.
- Put a wall up on your accounts. Adding multi-layered security controls (like strong, unique usernames and passwords) and multi-factor authentication methods (like push authentication) to sensitive or frequently used accounts you frequently use will make it much more difficult for scammers to break in.
- Limit your online footprint. Pay attention to what you share on social media, especially audio and video of yourself, which can be an open invitation to these scammers. You can also lock down your social media accounts to only allow connections to loved ones and friends. The less scammers have access to your information and likeness, the harder it is to target you.
- Check for anomalies. To effectively detect deepfake flaws, watch for these telltale signs:
- Unnatural eye movements or lack of blinking
- Audio that doesn’t sync with lip movements
- Blurry edges around the face
- Lighting or shadows that do not match the surroundings
- Background objects that blur, change, or disappear
If you feel you’ve been targeted by an AI or already fallen victim, cease all contact with the scammer immediately, contact the appropriate law enforcement investigative authorities, and file a claim at the FBI’s Internet Crime Complaint Center.
“AI-enhanced scams are now a fixture in our digital world,” Budzko said. “Taking just a moment to pause and question urgent requests and verify these requests through a trusted channel before sharing information or taking action can help protect you from becoming a victim.”
