Summary of this article
AI tools can make financial scam calls and messages convincing
Known numbers and familiar voices can still mislead
Verification steps and 1600 series numbers support safer decisions
Impersonation scams use technology to replicate voice, create believable messages and invent convincing identities with the help of artificial intelligence (AI). Scammers also sent messages that might seem to be sent by a trusted party, which can be a family member or an organisation, for example, a bank, a regulator, or a financial service provider.
In some cases, they use voice cloning to make calls sound authentic and come from someone very well-known to the victim, or from an official body. Such financial frauds are aimed at persuading the user to provide personal information, including OTPs, CVVs, passwords, or bank account details.
Scams, as such, may take different forms. Some common examples include messages claiming urgent financial issues, calls asking to confirm transactions, or emails requesting personal details. Fraudsters can also pose as government or regulatory figures to instil a feeling of authority and urgency. The fraud can be perpetrated even with small amounts of money demanded before the victim is even aware of the fraud.
Significance of Verification
Verification helps ensure that the person or organisation contacting a user is legitimate. Relying solely on familiarity or recognition of a voice can be risky. AI can replicate voices or send messages from numbers that might look authentic. Verification steps act as a safeguard against such attempts by providing a secondary check before sharing sensitive information.
Steps Users Can Follow
There are several verification methods to reduce the risk of falling victim to AI-enabled impersonation scams. One of the most important steps is to call back the official number of the organisation rather than using the number provided in a message or call. Users can also establish code phrases or shared verification steps within families or workplaces. This ensures that the person requesting sensitive information is verified independently.
The other measures involve not sharing OTPs, passwords or bank account details when making calls, messages, or in any other way. Users should also be cautious about urgent messages or requests that compel them to act immediately. Scams usually play on the time-urgency tactic to bypass rational decision-making. In such cases, be sure to take a breath, think this through, and not give in to the urgency. It is better to involve any senior/elderly family member in case the situation seems confusing or difficult to comprehend.
Another important step is to keep all the devices and applications updated. There are many frauds that use the loopholes in the outdated software.
Role of Banks and Financial Institutions
Banks and financial service providers significantly contribute to keeping customers aware of AI-enabled scams. They give instructions on safe habits, issue alerts regarding frequent fraud, and include features like transaction notifications, biometric verification, and two-step authentication. The consumers are advised to abide by the guidelines given by their banks and to avoid unsolicited messages which seek personal details.
In addition, the Insurance Regulatory and Development Authority of India (Irdai) has instructed all insurers to use phone numbers starting with 1600 for service and transactional calls. Calls from numbers outside this series should not be considered official. The Department of Telecommunications (DoT) and the Telecom Regulatory Authority of India (TRAI) have assigned the 1600 numbering series to banks, insurance companies, and other financial institutions, so calls starting with this series can be recognised as official.
It is important to raise awareness about AI-based impersonation scams. Users can be informed through educational campaigns and by providing a warning in time about the emerging tricks of the scam. Understanding the tactics used by scammers and adopting verification measures can reduce the chances of falling victim to fraud.
