Criminals are using new tactics to trick people into sending money and sharing personal information
Scammers are increasingly targeting digital payment methods like bank transfers, debit cards, digital wallets and peer-to-peer payment apps as consumers rely less on paper checks.
Artificial intelligence is making fraud more convincing, with criminals using fake websites, impersonation and AI-generated voices to pressure people into sending money or sharing personal information.
The best defense is to slow down and verify. Experts say pausing before sending money, confirming unexpected requests through trusted sources and using security tools like multifactor authentication can help prevent fraud.
Paying bills, sending money to friends, and shopping online has never been easier. But as more consumers move their financial lives into digital spaces, scammers are finding new ways to take advantage.
While traditional fraud involving checks and deposits is becoming less common, criminals are increasingly targeting digital payment methods such as bank transfers, debit cards, digital wallets, and peer-to-peer payment apps.
Adding to the challenge, artificial intelligence is making more convincing than ever. Fraudsters can now create realistic fake websites, impersonate trusted organizations, and even use AI-generated voices and identities to gain consumers' trust. The result is a rapidly evolving fraud landscape that can catch even cautious people off guard.
To better understand these emerging threats and how consumers can protect themselves, ConsumerAffairs spoke with Jen Martin, Head of Consumer Fraud and Claims at Citizens, who shared insights on the latest fraud trends, common warning signs and the simple steps people can take to keep their money and personal information safe.
What do these look like?
Digital payment are becoming more common because money moves quickly and can be harder to recover. Martin shared the details of what these typically look like.
These often involve impersonation, she said. Fraudsters pose as a trusted source, a bank, a government agency, a retailer, or even a friend or family member, and use urgency to push consumers to act. Fraudsters are contacting consumers via text, email, phone calls and even knocking on doors at homes posing as trusted sources.
Whats changed is the level of sophistication. Were seeing more advanced, AI-driven , including fraudulent websites that closely mimic legitimate ones and highly convincing outreach designed to build trust quickly. At the same time, were seeing more synthetic and quasi-synthetic identities being used to open accounts, adding another layer of complexity to the fraud landscape.
Know how to spot these
Martin shared the top red flags that consumers should be aware of to help spot these .
The biggest red flag is urgency: any message that pressures you to act quickly or creates a sense of panic, she said.
Other common warning signs include:
Texts, phone calls, emails from unknown sources, even if they look legitimate (like from a bank, UPS/USPS, or government agency)
Requests from unknown people to move money quickly through P2P apps, wires, or other instant payment methods
Unexpected payment requests or last-minute changes to payment instructions, especially for small businesses
Messages that appear to come from a trusted source but ask for personal or financial information
If something feels even slightly off, its important to pause and verify through a trusted source. Immediately disconnect from the call, website, or conversation.
Dos and donts
If you happen to find yourself involved in one of these , here are Martins top dos and donts to make the fallout as minimal as possible.
Do:
Pause and verify any unexpected request using a trusted source.
Contact your bank immediately if something doesnt seem right.
Use available security tools like alerts and multifactor authentication.
Monitor credit reports, credit scores, bank accounts regularly for suspicious activity.
Use Report Spam for unknown mobile calls and texts.
Talk to loved ones about how to spot and what to do if you might be a victim; our elderly and student-aged family members are most targeted and the fraud schemes are different.
Dont:
Click on links from a text/email, especially from a merchant or delivery company.
Dont act under pressure or urgency.
Dont share personal or banking information in response to unsolicited messages.
Dont send money to someone you havent independently verified.
Slow down
Martin says that the most important step is to slow down.
Fraud today is designed to create urgency and bypass critical thinking, so taking a moment to verify a request can make all the difference, she said.
One of the most powerful defenses is still awareness. The more informed consumers are about how these work, the better equipped they are to protect themselves. Taking a moment to pause and verify can prevent a significant loss.
Posted: 2026-07-01 17:16:22
