AI-Powered Scams Cost Americans $12.5 Billion in One Year

Scammers use AI technology to impersonate others and trick people into losing money, but there are ways to protect yourself.

Apr. 13, 2026 at 8:05am

Got story updates? Submit your updates here. ›

A highly detailed, glowing 3D illustration of a futuristic cybersecurity interface, with neon cyan and magenta lights illuminating various digital components and data streams, conceptually representing the complex interplay between AI, technology, and the growing threat of scams.As AI technology advances, scammers are finding new ways to exploit it for financial gain, costing consumers billions in losses each year.Indianapolis Today

A new report from the Federal Trade Commission shows that consumers lost over $12.5 billion to AI-powered scams in the past year, including investment scams, job scams, and online shopping scams. Scammers are using AI technology to personalize messages, impersonate others, and convince people to hand over money or personal information. Experts advise being wary of unsolicited communications, verifying the source, and using two-factor authentication to protect against these types of scams.

Why it matters

As AI technology continues to advance, scammers are finding new ways to exploit it for financial gain. These scams can have a significant impact on consumers, costing billions in losses each year. Understanding how scammers are using AI and taking steps to protect oneself is crucial to avoiding becoming a victim.

The details

Scammers are using AI technology in a variety of ways to carry out their schemes, including creating fake social media accounts, generating realistic-sounding voice messages, and impersonating trusted organizations. One example is a case where scammers hacked a pastor's Facebook account, stole one of his videos, and used AI to make it appear as if he was promoting cryptocurrency. Investment scams, job scams, and online shopping scams are also on the rise, costing consumers millions. Experts advise being cautious of unsolicited communications, verifying the source, and using two-factor authentication to protect against these types of scams.

  • The Federal Trade Commission's new data shows that consumers lost over $12.5 billion to AI-powered scams in the past year.

The players

Federal Trade Commission

The U.S. government agency that collects data on consumer complaints and scams.

Pastor Alan Beauchamp

A pastor who had his Facebook account hacked and used by scammers to promote a cryptocurrency scheme.

Got photos? Submit your photos here. ›

What they’re saying

“First of all, I want to assure you my account has not been hacked. I am fully in control of my Facebook account. I believe that crypto trading offers an incredible opportunity for financial growth.”

— Scammers

What’s next

Consumers should continue to be vigilant about unsolicited communications and verify the source before providing any personal or financial information. The Federal Trade Commission recommends using two-factor authentication and monitoring accounts closely for any suspicious activity.

The takeaway

As AI technology becomes more advanced, scammers are finding new ways to exploit it for financial gain. This has resulted in billions of dollars in losses for consumers across the country. By understanding the tactics used by scammers and taking proactive steps to protect themselves, consumers can help reduce their risk of falling victim to these types of scams.