In a world where AI is becoming more popular, the use of sophisticated scams is growing as well. Scammers are starting to use deep fakes and copies of real voices to gain access or convince people to act in ways that would normally never happen prior to its development. As a result, the prior methods of protecting yourself from identify theft and other scams are also becoming more and more obsolete.
Here are some tips to protect yourself in the new AI world.
- Never send documents containing personal information through non-secure email. Personal documents include information such as names, addresses, phone numbers, account numbers, or any other information that a scammer could use to gain access to your personal information. These documents are not limited to bank or brokerage statements, 1099s, and other tax documents.
- Invest in Identity Theft Insurance / Protection insurance. There are a number of companies out there selling ID theft protection including ones that partner with credit card companies. Be sure to get one that not only monitors your credit but will also help you clean up the mess if you do become a victim.
- Apply for an Identity Protection Pin with the IRS to protect yourself against fraudulent returns from being filed on your behalf. You will need to prove your identity and setup an IDME account but the extra protection is well worth it. Learn more at: Get an identity protection PIN | Internal Revenue Service
- Ignore those unsolicited calls from government agencies. Government agencies like the IRS will never call you demanding immediate payment, they instead mail you notices. If you receive a notice that looks fake, contact your tax professional or go to the government agency’s website such as IRS.GOV for federal tax issues or, do a web search for the respective state or local government website to get the phone number. In this case, do not use the website or phone number listed on the notice.
- Unplug your smart speaker when discussing financial matters or travel plans. Those smart speakers really are listening to you. Did you know that IRS employees are forbidden to have a smart speaker in the room where they are working? This is good practice for everyone. You should think twice about having one nearby when calling your bank, brokerage, financial professional or government agency to discuss financial matters. It is also a good practice to avoid discussing vacation or other travel itineraries around them. If you use one for playing music like I do, unplug it before having those conversations.
- Avoid using a bank debt card when shopping online.
- Avoid shopping at online merchants that you are not familiar with and verify the websites are secure at checkout when making purchases.
- Use muti-factor authentication for ALL financial websites in addition to using complex passwords. Whenever possible, take advantage of advanced security features offered by the organization that do not involve a text message or phone call. These include authenticator apps, key fobs (provided by the company), and FIDO2 security keys (you purchase) that plug into your device when used.
- Create a “Safe” word for your family. This word should be something that can easily memorized and/or used in a random sentence to disguise it. The word should never be spoken or shared in a room with a smart device (including cameras and speakers).
Remember the old saying “if it sounds too good to be trueit is”. Use good judgement and stay vigilant. If you have questions or concerns about your anti-fraud protection, please reach out to Jorge A. Guerrero, CPA, MS, at jguerrero@peasebell.com.
