As generative AI continues to advance, cybercriminals are adapting just as quickly. In a recent Investopedia interview, Darius Kingsley, Head of Consumer Business Practices at JPMorgan Chase, cautioned that AI-powered scams are becoming more frequent and sophisticated. This trend is creating serious challenges for consumer protection and institutional trust.
Kingsley reported that fraud losses reached $16.6 billion in 2024, a 33 percent increase from the previous year. Criminals are now using AI to create realistic phishing emails, fake texts, and even deepfake audio that mimic legitimate bank communications. As a result, it is becoming increasingly difficult for customers to recognize fraud.
Financial institutions face growing pressure to stay ahead of these threats. Kingsley emphasized that protecting customers is essential to preserving trust. Banks must invest in consumer education, implement stronger authentication methods, and improve communication strategies to counter AI-enhanced fraud tactics.
“No one is immune,” Kingsley stated. Trust in banking today depends on proactive defenses and a commitment to meeting customer expectations in an increasingly digital world.
Read the full article on Investopedia: This JPMorgan Banking Expert Has a Dire Warning About AI Scams