Social Security Scams Could Become More Prevalent Thanks to AI — Here’s Why
Written by
Vance Cariaga
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Daria Uhlig
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Social Security scams soared in recent years due to the combination of the COVID-19 pandemic and increasingly sophisticated technologies. According to FBI data, Americans 60 and older reported $3.1 billion in scam losses in 2022 alone — a whopping 84% gain from the previous year. That growth rate could push even higher in coming years now that fraudsters have discovered the wonders of artificial intelligence.
AI has proven particularly useful in helping scammers steal Social Security numbers and benefits, according to Amanda D’Amico, vice president of risk and fraud strategy & operations at Thomson Reuters.
“In the last few years, we have seen an explosion of the use of advanced technology by criminal actors to commit fraud and financial crimes targeting government benefit programs, including Social Security,” D’Amico told Forbes in a recent interview. “The rapid emergence of ChatGPT and its open availability presents the perfect opportunity for criminals to up their tech game once again.”
And the elderly are particularly susceptible, experts say.
“[Seniors] are prime targets as they typically have some form of accumulated savings or retirement and they tend to be less technologically savvy,” David Derigiotis, an author and chief insurance officer for Embroker, told Newsweek. “Verifying the legitimacy of communications from federal programs, such as Social Security, is crucial to avoid falling for a scam.”
The number of fraud complaints involving seniors totaled 88,262 in 2022, according to the FBI. The average loss per victim was $35,101. A total of 5,456 victims lost more than $100,000.
So how does AI make it easier for fraudsters to steal from Social Security recipients?
Part of it has to do with their ability to change identities on social media platforms and other sites. Here is what D’Amico told Forbes:
- AI helps criminals search through personal records to create phony Social Security accounts.
- Fraudsters can use AI-generated video to pose as public figures, like the president or other elected officials, by using the technology to adopt their likenesses. From there, victims are scammed into providing personal information.
Artificial intelligence isn’t perfect, however. As D’Amico noted, the technology “has a hard time replicating teeth and hands,” which means you should keep an eye out for images where proportions seem too large or small. In addition, AI might mistakenly add or remove fingers.
“This is a major red flag that you are speaking to a bad actor,” D’Amico said. “Of course, this may be difficult for elderly folks who are hard of seeing, so always reach out to a friend or loved one for a second opinion.”
Another common scam involves impersonating Social Security Administration personnel in an attempt to obtain personal information or money, according to the SSA. Criminals might contact victims through phone calls, emails, texts or social media messages and provide AI-generated photos of real SSA employees.
Here are the four basic signs of a scam, the SSA said:
- Scammers pretend to be from an agency or organization you know to gain your trust.
- Scammers say there is a problem or a prize.
- Scammers pressure you to act immediately.
- Scammers tell you to pay in a specific way.
The best course of action is to ignore all of these messages. If you have any questions, call the SSA directly. If you suspect Social Security fraud, visit the SSA fraud prevention site, or call the fraud hotline at 800-269-0271.
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