The Rise of AI-Powered Fraud

While AI can be a powerful tool for good, it can be dangerous in the wrong hands. Today’s financial criminals are more tech-savvy than ever, using tools like AI to make their attacks more sophisticated – and harder to detect.

According to Visa’s Biannual Threats Report, hackers are leveraging new technology and powerful social engineering to coordinate large-scale attacks. From AI-generated deepfakes to digital pickpocketing, the experts at Origin Bank are breaking down the report and offering key tips to keep our customers safe.

Beware of these rising fraud attempts

  1. Deepfaked voice and video clips. In February 2024, cybercriminals scammed a Hong Kong finance employee out of $25.6 million using an AI-generated video and audio clip of the company’s CFO. Called “deepfakes,” these AI-generated videos or images use deep learning to create realistic-looking but fake content, often altering faces or voices to depict events that never happened. According to the Visa report, it only takes three seconds of audio to reproduce a voice with AI. In the age of social media, scammers can use posted videos or even voicemail messages to clone your voice. Alongside AI’s ability to recreate human movements and language patterns, it’s becoming harder and harder for victims to detect scams.
  2. Delayed cashouts. Today’s thieves are patient. Instead of immediately testing stolen cards, they’re waiting eight to 90 days. This delayed cashout tactic helps them skirt fraud detection systems that focus primarily on immediate suspicious activity after your account has been compromised. 
  3. The return of physical theft. In the wake of rising digital fraud, physical card theft is making an unexpected comeback. While the industry at large zeroes in on cybersecurity, criminals are returning to traditional theft tactics to avoid heightened digital security measures. This leads to simple but risky tactics like mail theft, vehicle break-ins, and even pickpocketing.
  4. Digital pickpocketing. It’s not just in-person pickpockets you have to watch out for – now there are digital pickpockets, too. “Digital pickpocketing” is a new scheme where thieves use portable RFID readers to wirelessly capture card information in crowded places. Think of the tap-to-pay readers you see in coffee shops, but in the hands of a scammer. By sneaking up close enough to victims’ wallets and bags, they can conduct unauthorized contactless purchases while your card stays put.

How to stay safe

  1. Be careful what you share online. While posting on social media is fun, sharing too much in this day and age can be dangerous. That’s why it’s best to keep all your accounts private so cybercriminals can’t access your content as easily. Additionally, before you post, think twice about what information you’re giving out and how it could potentially be used against you.
  2. Always keep an eye on charges. Sign up for Origin Debit Alerts to receive text or e-mail notifications about account activity, external transfers, or other account changes. Customize notification settings to receive certain types of alerts, such as out-of-state transactions, card status changes, or funds transferred. Additionally, make use of card controls for greater power over transaction types, spending limits, international purchases, and more.
  3. Beware of mail theft. To protect your information, it’s best to place outgoing mail inside USPS locations rather than leaving it exposed in your mailbox. And be sure to retrieve your incoming mail as quickly as possible instead of letting it sit overnight.
  4. Watch your bag. When you’re out and about, be vigilant and aware of your surroundings. Keep items like wallets, purses, and backpacks secure and in your direct line of sight if not on your person. If an item is stolen, immediately report it to your Origin banker or contact our Customer Support Team at (888) 292-4037.
  5. Keep cards hidden. To minimize the risk of contactless fraud, keep your cards secure. Never store them in an easily accessible pocket or phone wallet. You can even invest in an RFID-blocking wallet, which creates a digital force field to keep your cards and digital identity safe from snoops. This helps prevent digital pickpockets from making unauthorized contactless transactions. Always be mindful of crowded spaces where thieves may attempt to discreetly scan your card.

 

At Origin Bank, we proactively monitor debit card alerts and fraud warnings, and fast responses to breaches are necessary on the customer side as well. Have more questions about fraud trends and protecting your account? Visit Origin’s Security Center or Personal Fraud Prevention page to learn more.