Colorado is on track to suffer even greater financial losses from scams by the end of 2024 compared to the nearly $100 million stolen in 2023. According to the Colorado Attorney General's Office, the rapid integration of artificial intelligence (AI) into everyday life may be driving this increase.
Gone are the days when misspelled words, unprofessional websites, and suspicious email domains were telltale signs of scams. With AI, criminals now replicate the voices of loved ones to stage fake emergencies, tricking victims into sharing money or sensitive information. "Artificial intelligence takes existing scam opportunities and puts them on steroids," said Colorado Attorney General Phil Weiser.
In 2023, the FBI Denver Field Office reported that scammers stole $187 million from nearly 11,500 residents in Colorado—an increase of $9 million compared to 2022. Investment fraud ($50 million), business email compromise ($57 million), and tech support scams ($23 million) were the top schemes contributing to these losses.
Weiser's office received a record-breaking 20,390 fraud complaints in 2023, up from 19,519 in 2019, reflecting a growing trend. Colorado now ranks seventh nationwide for scam complaints per capita. Many of these cases were reported through StopFraudColorado.com, a platform providing fraud education and reporting tools.
One alarming scam, known as the "grandparent scam," highlights how scammers use AI to imitate a grandchild's voice. The victim is told their grandchild is in jail abroad and needs money urgently. "One of the scary parts is many people have a hard time understanding the difference between deepfakes and reality," Weiser said. He advises skepticism: "Don't trust those calls. Hang up and verify the information with the appropriate source."
Younger internet users and older adults are particularly vulnerable. Weiser added, "AI is not new, but the widespread use of tools like ChatGPT has taken adoption to a new level."
Austin Hastings, assistant vice president at Alpine Bank, noted that scammers adapt their strategies once people stop falling for certain tricks. Recent scams involve AI-generated phishing emails and websites that convincingly mimic legitimate organizations.
To combat scams, Alpine Bank suggests:
- Avoid clicking on unexpected links. Use verified websites or saved URLs.
- Never share financial information or passwords over email or phone.
- Beware of too-good-to-be-true deals and stick to trusted retailers.
- Monitor bank accounts regularly for suspicious charges.
- Report fraudulent activity to authorities promptly.
- The Colorado Privacy Act, enacted in 2021, provides residents with tools to protect their data, such as opting out of targeted advertising and requiring entities to safeguard personal information.
"It's a dangerous world out there, and AI is making it more dangerous," Weiser warned. "Please protect yourself and those you love."