Scammers are ramping up their tactics, leveraging the power of AI voice cloning and deepfake technology to perpetrate fraud on unsuspecting individuals. To protect loved ones, experts recommend that families create secret passwords or phrases that can be used to verify identity in real-time during unexpected communications.
Every year, fraudsters generate billions in profit by deceiving people through various scams such as romance fraud, business email compromise, and impersonation scams. These impersonation scams involve criminals pretending to be someone the target knows, frequently resulting in requests for money. In December, the FBI issued a warning advising families to establish a "secret word or phrase" to verify identities. This recommendation was echoed by British bank Starling, which released guidelines on the topic.
The idea behind these passphrases is straightforward yet effective. If a person receives a message or call claiming to be their child urgently needing funds, prompting them to reveal the pre-agreed password can help determine the authenticity of the request.
Erin Englund, a director of threat analytics at BioCatch, emphasizes that fraudsters often use tactics that manipulate victims into acting out of panic or urgency. A secret passphrase provides a way for victims to quickly assess the legitimacy of unexpected interactions and regain control in high-stress situations.
The urgency to create these passwords has intensified as scammers increasingly adopt AI technologies. Deepfake videos and voice cloning can be employed to convincingly impersonate family members, often claiming they’ve been kidnapped or are in dire circumstances that require immediate financial assistance.
Rachel Tobac, CEO of SocialProof Security, reports an alarming rise in incidents where families receive phone calls from voice-cloned relatives in distressing scenarios. She highlights the need for families to be aware of these risks and to take preventative measures.
When crafting a family password, individuals should avoid common pitfalls similar to creating strong online passwords. For instance, the passphrase should not mirror existing passwords and should not include easily discoverable information like birthdays or pet names.
Starling Bank suggests that an ideal family passphrase should be unique, memorable, and communicated privately among family members. Examples might include whimsical phrases or simple acronyms that stand out but are not easily guessed. It’s crucial to keep such information confidential and avoid sharing it on social media or other platforms.
Tobac cautions about potential limitations of family passwords, pointing out that in genuine emergencies, adrenaline may cloud a person’s memory, rendering them unable to recall the agreed-upon phrase. She advocates for a strategy of “Being Politely Paranoid,” which involves confirming identity through alternate methods, such as sending a text with the password during urgent communications.
Ultimately, experts agree that even the most vigilant individuals can still fall victim to scams. Those who do find themselves ensnared should report the incident to their bank or local authorities. Many victims experience feelings of shame and hesitate to report scams, but there are resources available to assist with recovery and prevention in the future.
