New York City, December 1, 2025
As the holiday shopping season approaches, New York State officials warn consumers about a significant rise in AI-generated scams. These scams use advanced technology to create fake websites, emails, and social media advertisements that deceive shoppers into providing personal information or making non-existent purchases. The Federal Trade Commission highlights that New Yorkers lost over $17 million to such scams, stressing the importance of consumer vigilance during this peak shopping period.
AI-Generated Scams Rise as New York Shoppers Prepare for the Holidays
New York State officials are alerting consumers to a surge in AI-generated scams targeting online shoppers during the holiday season. The Department of State’s Division of Consumer Protection emphasizes the importance of vigilance when shopping online, particularly as the holiday season approaches.
Rise in AI-Generated Scams
Advancements in artificial intelligence have enabled scammers to create convincing fake websites, emails, and social media ads that closely mimic legitimate retailers. These AI-generated scams are designed to deceive consumers into providing personal and financial information or making purchases that never arrive. The Federal Trade Commission reports that consumers in New York lost over $17 million to online scams in 2024, highlighting the growing threat posed by these sophisticated fraudulent activities.
Common AI-Generated Scams
- Fake Websites: Scammers create counterfeit websites that closely resemble those of reputable retailers, tricking consumers into entering sensitive information or making purchases that result in financial loss.
- Phishing Emails and Texts: Fraudulent communications impersonate well-known brands, offering deals that seem too good to be true, leading consumers to malicious sites or prompting them to share personal information.
- Social Media Ads: AI-generated advertisements on platforms like Facebook and Instagram promote fake deals, luring consumers to fraudulent websites or encouraging them to share personal details.
Protective Measures
To safeguard against these scams, consumers are advised to:
- Verify Sellers: Ensure the legitimacy of online retailers by checking for secure website connections (look for “https://” and a padlock symbol) and researching the seller’s reputation.
- Be Cautious with Unfamiliar Websites: Avoid shopping on unfamiliar sites, especially those offering deals that seem too good to be true.
- Scrutinize Emails and Texts: Be wary of unsolicited communications offering deals or requesting personal information. Always verify the authenticity of such messages through official channels.
- Use Secure Payment Methods: Opt for credit cards or secure payment platforms that offer fraud protection when making online purchases.
- Monitor Financial Statements: Regularly review bank and credit card statements for unauthorized transactions and report any suspicious activity promptly.
Background Context
The holiday season is a prime time for online shopping, with consumers seeking deals and gifts for loved ones. Unfortunately, this period also attracts scammers who exploit the increased online activity. The rise of AI technology has further complicated the landscape, enabling more sophisticated and convincing fraudulent schemes. In response, state officials and consumer protection agencies are intensifying efforts to educate the public and provide resources to combat these scams.
Conclusion
As the holiday shopping season unfolds, New York State urges consumers to remain vigilant against AI-generated scams. By staying informed and adopting protective measures, shoppers can enjoy a safer and more secure online shopping experience.
FAQ
What are AI-generated scams?
AI-generated scams are fraudulent activities where scammers use artificial intelligence to create convincing fake websites, emails, and social media ads that mimic legitimate retailers, aiming to deceive consumers into providing personal and financial information or making purchases that result in financial loss.
How can I protect myself from AI-generated scams?
To protect yourself, verify the legitimacy of online sellers, be cautious with unfamiliar websites, scrutinize unsolicited emails and texts, use secure payment methods, and regularly monitor your financial statements for unauthorized transactions.
Why are AI-generated scams more prevalent during the holiday season?
The holiday season sees a significant increase in online shopping, providing scammers with more opportunities to exploit consumers. The rise of AI technology has enabled more sophisticated and convincing fraudulent schemes, making it easier for scammers to deceive shoppers.
What should I do if I encounter an AI-generated scam?
If you encounter an AI-generated scam, report it to the appropriate authorities, such as the Federal Trade Commission or your state’s consumer protection agency. Additionally, inform the legitimate retailer or brand that is being impersonated to help prevent further fraudulent activities.
Key Features of AI-Generated Scams
| Feature | Description |
|---|---|
| Fake Websites | Counterfeit sites that closely resemble legitimate retailers, designed to deceive consumers into entering sensitive information or making purchases that result in financial loss. |
| Phishing Emails and Texts | Fraudulent communications impersonating well-known brands, offering deals that seem too good to be true, leading consumers to malicious sites or prompting them to share personal information. |
| Social Media Ads | AI-generated advertisements on platforms like Facebook and Instagram promoting fake deals, luring consumers to fraudulent websites or encouraging them to share personal details. |
| Protective Measures | Actions consumers can take to safeguard against scams, including verifying sellers, being cautious with unfamiliar websites, scrutinizing unsolicited communications, using secure payment methods, and monitoring financial statements. |
Now Happening on X
- @TalkoftheSound (November 30, 2025): New York warns of Cyber Monday AI scam explosion involving fake stores and counterfeit traps, with FTC reporting over $17 million in online shopping scam losses for the state in 2024. View on X
- @Eyewitness News (November 29, 2025): Holiday shoppers in New York are urged to beware of rising AI online shopping scams that mimic legitimate retailers. View on X
- @Cash App (November 17, 2025): Financial scammers are using sophisticated AI voice technology to target Americans this holiday season, with Cash App, PayPal, and Venmo offering safety tips. View on X
- @NY AG James (August 29, 2025): Fraudsters are employing AI deepfake videos of celebrities and business leaders to scam New Yorkers into fake investment schemes, with tips provided for protection. View on X
- @7 News WKBW (November 25, 2025): A new AI-driven online scam is targeting holiday bargain hunters in New York with fake websites that appear legitimate. View on X
- @carmelkron (November 29, 2025): AI is enabling scammers to build perfect fake online stores that clone real brands, leading to a 250% spike in fake shopping sites during the holidays. View on X
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