Fraudsters use artificial intelligence (AI) to create fake profiles, emails, and websites that look real and trick people into giving them money or personal information.

Here are some tips on how to spot and avoid fraud online:

• Check the sender’s email address and the website’s URL for spelling errors, unusual domains, or extra characters. For example, a legitimate email from Amazon would not come from amazon@onlineshopping.com or amaz0n.com.
• Look for signs of poor grammar, punctuation, or formatting in the message or on the website. Fraudsters may use automated translation tools or copy and paste text from other sources, which can result in errors or inconsistencies.
• Be wary of requests for urgent action, personal or financial information, or payments by wire transfer, gift card, or cryptocurrency. Fraudsters often use these methods to make you act quickly or to prevent you from tracking the money.
• Do not click on links or open attachments from unknown or suspicious sources. They may contain malware or phishing software that can infect your device or steal your data. Instead, type the website address directly into your browser or use a trusted search engine to find the site.
• Use a search engine or a reverse image search tool to verify the identity and credibility of the sender or the website. You can also check online reviews, ratings, or complaints about the company or the product. If the offer seems too good to be true, it probably is.
• Report any suspicious or fraudulent activity to the relevant authorities or platforms. You can also contact your bank, credit card company, or online payment service if you suspect that your account has been compromised or misused.

Online fraud is a serious and growing problem that affects millions of people around the world. According to Statista, online shopping scams accounted for 38 percent of all reported scams worldwide in 2020, up from 24 percent before the COVID-19 pandemic. The monetary losses caused by cyber criminals reached 10.3 billion U.S. dollars in the United States alone in 2022. Some of the most common types of online fraud include phishing, business email compromise (BEC), identity theft, romance scams, and elder fraud.

• Phishing is a type of fraud that involves sending fake emails or messages that appear to come from a legitimate organization or person, such as a bank, a government agency, or a friend. The goal is to trick you into clicking on a link, opening an attachment, or providing personal or financial information. For example, you may receive an email that claims to be from your bank, asking you to verify your account details or to update your password. If you follow the instructions, you may end up giving your information to a fraudster or downloading malicious software.
• Business email compromise (BEC) is a type of fraud that targets businesses and organizations, especially those that deal with foreign suppliers or clients. The fraudsters impersonate a trusted person, such as a CEO, a vendor, or a lawyer, and request a payment or a change in bank account details. For example, you may receive an email that appears to be from your boss, asking you to wire money to a new account for an urgent project. If you do so, you may end up sending money to a fraudster instead of your legitimate business partner.
• Identity theft is a type of fraud that involves stealing someone’s personal information, such as their name, date of birth, social security number, or credit card number, and using it to commit fraud or other crimes. For example, a fraudster may use your identity to open a new credit card account, apply for a loan, or file a tax return in your name. This can damage your credit score, drain your bank account, or cause legal problems.
• Romance scams are a type of fraud that involves creating fake profiles on dating sites or social media platforms and pretending to be interested in a romantic relationship with the target. The fraudsters may use photos and stories of real people or celebrities to make their profiles more attractive and convincing. The goal is to gain the trust and affection of the target and then ask for money, gifts, or personal information. For example, a fraudster may claim to be a soldier stationed overseas, a doctor working for a humanitarian organization, or a widow with a child and ask for money for travel, medical, or family expenses.
• Elder fraud is a type of fraud that targets older adults, especially those who are isolated, lonely, or have cognitive impairments. The fraudsters may pose as relatives, friends, caregivers, or officials and exploit the trust and vulnerability of the target. The goal is to persuade the target to give money, property, or personal information. For example, a fraudster may call an elderly person and pretend to be their grandchild, who is in trouble and needs money urgently. Alternatively, a fraudster may visit an elderly person and offer to help with home repairs, health care, or legal services, and then overcharge or steal from them.

Online fraud can have serious consequences for the victims, such as financial losses, emotional distress, identity theft, or legal problems. Therefore, it is important to be aware of the signs and risks of online fraud and to take steps to protect yourself and your loved ones. Remember, if you are unsure or suspicious about an online offer, message, or request, do not respond, click, or share. Instead, verify the source, contact the official organization, or seek advice from someone you trust. By doing so, you can help prevent online fraud and make the internet a safer place for everyone.