Beware of Fraud Using New AI Technologies! Financial Regulator Issues Alert

Currently, the widespread application of AI technology provides the public with personalized and intelligent information services, but it also creates opportunities for online fraud. For example, criminals use face swapping and voice synthesis to create fake images, audio, and videos, impersonating others to commit fraud and infringe on consumers' legitimate rights and interests. The National Financial Regulatory Administration has issued a consumer protection risk alert, reminding financial consumers to be vigilant against new fraud methods and to safeguard personal and family property security.

Fraud using new AI technologies primarily employs two methods: "voice cloning" and "face swapping," which involve simulating another person's voice or appearance to gain trust and then defraud money. Criminals typically first contact consumers via WeChat, QQ, or phone under the pretext of "online store customer service," "marketing promotion," "part-time recruitment," or "dating and matchmaking," to collect voice recordings, speech patterns, or facial information. They then use voice cloning or face swapping technologies to synthesize fake audio, video, or images of the consumer, and use excuses such as borrowing money, investments, or emergency assistance to induce their friends and family to transfer funds or provide sensitive information like bank account passwords, before immediately moving the money. Additionally, criminals may also synthesize audio and video of celebrities, experts, or officials, spreading false information under their identities to achieve fraudulent purposes.

These fraud methods are highly deceptive and covert, often involving large sums of money. To protect the legitimate rights and interests of financial consumers, the National Financial Regulatory Administration advises:

1. What you "see" through online channels may not be real. A key feature of synthesis technologies like "voice cloning" and "face swapping" is their ability to blur the line between real and fake. Criminals can easily disguise themselves as others using such technologies and carry out targeted fraud by quickly screening target groups and customizing fraud scripts. Therefore, when it comes to financial transactions, a "familiar-sounding phone call" or a "video of someone you seem to know" could be a fraud tactic. Consumers should remain vigilant.

2. Always verify the other party's identity before transferring money. If someone claiming to be an "acquaintance" or "superior" contacts you via social media or phone and tries to induce you to transfer money for various reasons, be sure to verify their identity. For example, you can ask questions during the conversation that only both of you would know, use other communication methods or meet in person to confirm, or verify their identity and situation with their friends or family. If you cannot confirm the other party's identity, avoid making the transfer.

3. Protect your personal information such as photos and voice recordings. Consumers should enhance their awareness of personal information protection, avoid downloading unfamiliar software, registering on unknown platforms, or adding strangers as friends, and remain vigilant about the security of their personal social media accounts. Try to avoid overexposing personal photos, voice recordings, videos, and other information online, and do not store ID card or bank card photos directly on your phone for convenience. If you are unfortunately deceived or encounter suspicious situations, be sure to preserve evidence and report the matter to the local public security authority immediately.

(Source: Financial Regulatory Administration website)