Fake AI Tool and Service Scams
Americans lost $12.5 billion to fraud in 2024, according to the FTC.
Quick Answer
Scams involving fake AI tools and services cost victims nearly $893 million in 2025 alone, according to the FBI's Internet Crime Complaint Center (IC3).
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How It Works
1
Scammers advertise a revolutionary AI tool or service on social media, through unsolicited emails, or on convincing but fake websites. These ads often feature deepfake videos of celebrities or public figures and promise unrealistic outcomes, such as guaranteed high investment returns, automated online businesses, or miracle products.
2
The victim is lured into signing up for a "free trial" or purchasing the AI tool, which may involve downloading malicious software. In other cases, they are convinced to invest in a bogus crypto platform that supposedly uses AI for trading or to pay for a "done-for-you" e-commerce store.
3
Once payment is made or software is installed, the scam is revealed. The AI tool is non-functional or malware designed to steal personal and financial information. The promised investment returns never materialize, and the scammers disappear after collecting upfront fees, leaving the victim with significant financial loss and compromised data.
4
In a variation of this scam, criminals use AI voice cloning or deepfake videos to impersonate a loved one in an emergency, a boss authorizing a wire transfer, or a tech support agent to gain remote access to a victim's computer.
Red Flags
- Promises of guaranteed high returns or unrealistic profits with little to no risk.
- High-pressure sales tactics that create a sense of urgency to invest or purchase immediately.
- Requests for payment in cryptocurrency, wire transfers, or gift cards, which are difficult to trace.
- Poorly designed websites, emails with spelling or grammar errors, or email addresses that don't match the company's domain.
- Use of deepfake videos or audio of celebrities or public figures endorsing the product.
- Unsolicited contact via email, text message, or social media promoting the AI tool or investment.
- Refusal to provide references or verifiable details about the company and its services.
What to Do If Targeted
- Immediately stop all contact with the scammer and block their numbers and email addresses.
- Contact your bank or financial institution to report the fraud and attempt to reverse any transactions.
- If you downloaded any software, run a full scan with reputable antivirus software to remove any malware.
- Change the passwords for all your online accounts, especially financial and email accounts, and enable multi-factor authentication.
- Place a fraud alert or credit freeze on your credit reports with the major credit bureaus (Equifax, Experian, TransUnion).
- File a detailed report with law enforcement and the appropriate federal agencies.
How to Report It
- FTC — Report the fraud to the Federal Trade Commission to help with investigations and public alerts.
- FBI IC3 — File a complaint with the FBI's Internet Crime Complaint Center (IC3) for cybercrime.
- IdentityTheft.gov — If your personal information was stolen, create a recovery plan with this official government resource.
- FCC — File a complaint about phone scams, robocalls, or unwanted calls with the Federal Communications Commission.
- AARP Fraud Helpline — Call 877-908-3360 for free support from trained fraud specialists. Available to anyone, not just AARP members.
Key Statistics
- The FBI's Internet Crime Complaint Center (IC3) received 22,364 complaints involving AI in 2025, with victims reporting total losses of $893 million. — FBI Internet Crime Report 2025
- Business Email Compromise (BEC) scams involving AI cost businesses over $30 million in reported losses in 2025. — FBI Internet Crime Report 2025
- A 2024 AARP study found that 77% of adults aged 50 and older are worried they might personally become targets of an AI-related fraud. — AARP 2024
- The FTC has sued multiple online business schemes that falsely claimed to use AI to generate massive profits for consumers, with one scheme defrauding consumers of at least $25 million. — Federal Trade Commission (FTC)
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Frequently Asked Questions
Fake AI tool scams involve fraudsters promoting non-existent or malicious AI-powered services to deceive people into sending money or sharing sensitive information. Scammers use AI to create convincing deepfake videos, phishing emails, and voice clones to appear legitimate. These scams often promise high-return investments, automated businesses, or other too-good-to-be-true offers.
In 2025, the FBI's Internet Crime Complaint Center (IC3) received 22,364 complaints related to AI-enabled scams, with reported losses totaling nearly $893 million. This was the first year the FBI specifically tracked AI-related complaints in its annual report, highlighting the rapid growth of this fraud category.
To spot a deepfake, look for inconsistencies like unnatural eye movements or blinking, awkward facial expressions, mismatched lip-syncing, and strange lighting or skin texture. For voice clones, listen for an unusual tone, strange pacing, or a lack of emotional variation. If you receive a suspicious call from a loved one, hang up and call them back on their known phone number to verify the situation.
If you paid a scammer, contact your bank or credit card company immediately to report the fraud and dispute the charges. If you paid with cryptocurrency or a gift card, recovery is very difficult, but you should still report the transaction details to the platform used. It is also crucial to file a report with the FTC at reportfraud.ftc.gov and the FBI at ic3.gov.
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