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Red Flag Alert: How AI is Powering the Next Generation of Scams—And How U Can Stay Safe

 

 

A real-looking message from a loved one may not be real at all. Here’s what U need to know about AI-generated fraud and how to protect yourself.

Artificial intelligence (AI) is no longer just a buzzword—it’s now being used by scammers in shockingly convincing ways. Earlier this month, we shared a blog post about AI voice cloning scams, warning U about how fraudsters can mimic someone’s voice to trick U into acting fast.

Now, we’re taking it one step further with something we call AI-nita—an AI-generated version of our Chief Marketing Officer, Anita. It’s not really her. But it looks and sounds like her. And that’s the point.

If this technology can recreate a trusted face and voice this accurately, it’s important to know what to look out for—and how to protect yourself.

What Is AI Fraud?

AI fraud refers to scams that use artificial intelligence to mimic real people in very realistic ways. This includes:

  • Deepfake videos – Hyper-realistic videos that show someone saying or doing things they never actually said or did.

  • Voice cloning – AI-generated audio that sounds exactly like a real person, created from just a few seconds of recorded speech.

  • Chatbot scams – AI-powered messages that mimic human conversation in texts, emails, and even phone calls.

These tools are already being used by bad actors to trick people into handing over sensitive information, transferring money, or taking urgent actions based on emotional manipulation.

What Could That Look Like in Real Life?

Here are a few real-world examples of how scammers are using AI tools to commit fraud:

  • A member receives a voice message from what sounds like their grandchild asking for emergency funds—but it’s a scammer using voice cloning.

  • A parent sees a video of their child claiming they’re in trouble and need help fast—but the video is a deepfake.

  • A co-worker texts asking for a wire transfer or login credentials—except it’s not really them.

Scammers are counting on panic, urgency, and your instinct to help someone you care about. The emotional element is what makes these scams so effective.

So What Can U Do to Protect Yourself?

AI scams may be new, but the best defense is still the same: stay calm, stay skeptical, and verify everything.
Here are our top tips:

  1. Stop and verify. If something feels off, pause. Don’t respond right away. Take a moment to think critically about what you’re hearing or seeing.
  2. Hang up and call directly. Never act solely on a message—whether it’s a call, text, or video. Call the person back using a trusted number, not the one in the message.
  3. Set up a code word. Choose a unique, private code word with family or close friends that can be used in case of an emergency. If someone reaches out claiming to be in trouble, ask for the code word before taking action.
  4. Ask personal questions only the real person would know. AI may be smart, but it doesn’t know what your sister’s dog is named or where you went on vacation last year. Ask something only your real friend or loved one would know.
  5. Never share sensitive information without confirming the source. And never send money, passwords, or account information in response to a message without double-checking it first.

Why We Made AI-nita

Our goal with AI-nita is simple: to educate our members in a way that hits home. Reading about deepfakes is one thing—seeing how realistic they can be is something else entirely.

We believe knowledge is power, and that financial education is one of the most important ways we can serve U. If even one person avoids a scam because they remembered this video, it’s worth it.

Final Thoughts: Trust Yourself, Then Verify

Scammers are evolving—and so are we. If something doesn’t feel right, don’t ignore that feeling. Trust your instincts, then take a moment to confirm what you’re seeing or hearing.

Want more info about how scammers are using AI to fool people? Check out our earlier blog post on AI voice cloning scams for additional examples and tips.

And remember: if you ever feel unsure, call us. Your safety is our priority, and U + Me = a strong defense against fraud.

Stay informed. Stay secure. Stay UMe.

Disclaimer: U matter to Me (to all of us) at UMe — and that’s why we do our best to deliver helpful information on our blog. Please note the following: (1) UMe Credit Union works hard to make certain that the information we post here is as accurate as humanly possible. But as you know, information can change and evolve quickly. While we try to update the blog on a regular basis, the content of some older posts may not be correct or up-to-date. (2) Some destinations on the World Wide Web that we link you to will exist on external websites. UMe Credit Union does not officially endorse any connected sites, nor do/did we compensate or get compensated by any entities to be featured in our posts (unless otherwise noted). (3) Everyone’s situation is unique and we advise you to consult with our personal bankers or your finance, tax, or legal professional for advice individualized to you!