In the early days of generative artificial intelligence (AI), it was fairly easy to spot an AI image: just look for someone with six fingers, three eyes, or other obvious tells. However, the rapid evolution of generative AI (including high-quality deepfake videos) has made spotting the fake increasingly difficult. Rather than look for subtle signs, customers may be better served with a return to basics—knowing your source. Below, we share tips on staying safe in three key areas and what to do if you or a loved one runs afoul of a bad actor.
Shopping
Caveat emptor—or buyer beware—is valuable advice in the digital age. From social media ads promising luxury goods at rock bottom prices to sophisticated real estate scams, it is more important than ever to know who is on the other end of a transaction. Here are some ways to avoid a bad deal:
- Conduct an internet search for the name of the business/individual + scam. This should reveal any major issues.
- Reviews can be a helpful guide but be aware they can also be manipulated.
- Verify the business/individual on the relevant Secretary of State’s website.
- Use a credit card with good purchase protection, and avoid cash transfer apps.
- If the deal seems too good to be true, it probably is. Watch out for items priced significantly below market value.
Relationships
Scammers use a variety of social engineering techniques to build relationships with and rob their intended victims. They may carry on daily conversations for weeks or even months before mentioning an investment opportunity or financial emergency. The scammer is happy to let the “relationship” develop however seems most promising, so if the victim is amorously inclined, a romance scam will evolve. But many of the most successful pig butchering scams remain platonic and simply prey on the victim’s desire for connection. Here’s how to spot—and stop—a relationship scam:
- Wrong number texts are extremely common entry points for relationship scammers. If you receive a seemingly innocuous text from an unknown number, block/report the message and do not respond.
- Social media is an endless marketplace for those seeking scam victims. Before accepting a “friend request” from an unknown account, check the person out. Do not assume a common connection means the requestor is safe, as many scammers build extensive networks across multiple platforms.
- Deepfake videos have allowed celebrity imposter scams to blossom. Publicly available appearances, schedules, and information are the best ways to push back against the idea that an A-lister needs money.
- Not all relationships that start online are scams, but ones that remain exclusively online might be. Do not send money, personal information, or intimate media to someone you have not met in person.
Emergencies
Creating a fake emergency leverages a scammer’s favorite thing—pressure to act quickly without time to think. Whether it’s a grandparent scam claiming a beloved grandchild is about to go to jail, or an online friend in desperate need of help, emergencies tug at a victim’s heartstrings and cloud their judgement. As with all scams, taking a moment to think before acting can save a would-be victim from financial harm. Here’s what to know:
- Scammers posing as family members often beg for secrecy (e.g., “Don’t tell Mom!”); ignore this. Verify all such requests at known phone numbers.
- Law enforcement and other legitimate authorities do not demand gift cards, cryptocurrency, cash, gold, or other non-traditional forms of payment for fees, penalties, fines, and other expenses.
- Phone numbers are easily spoofed. Don’t be fooled by caller ID claiming a call is from an authority.
- Don’t answer the phone for unknown callers. With a clip of mere seconds, fraudsters can clone your voice and use it to scam your loved ones. Legitimate callers will leave a voicemail or contact you by other means.
- Verify, verify, verify. Authorities are aware of the fraud landscape and should understand reasonable verification efforts. Contact the supposed agent or agency at a phone number you independently confirm to be valid.
Recovery
Even with the sharpest eye and best fraud detection skills, you or a loved one may still be harmed by a scam. Here are some tips that can help you navigate a difficult time:
- Perspective is everything—fraud is a common crime, and victims are not to blame.
- Your D.A. Davidson financial professional has access to a wealth of resources; let them know what happened so they can help.
- Provide your D.A. Davidson financial professional with the name and phone number of a trusted contact.
- IdentityTheft.gov is a free Federal Trade Commission resource that helps victims assess their situation and make a plan.
- The AARP Fraud Watch Network is a free resource that provides support and advice for victims and their family members. Anyone can access, regardless of age or membership status.
For more information, visit our Fraud Prevention page. Additional resources include:
The above information is provided for information purposes only and does not constitute advice . It has been obtained from and/or is based upon sources we believe to be reliable, but we cannot guarantee its/their accuracy or completeness. By providing information about trusted contact person(s), you authorize us to contact the trusted contact person(s) and disclose information about your account to those person(s) in the following circumstances: To address possible financial exploitation, to confirm the specifics of your current contact information, health status, or the identity of any legal guardian, executor, trustee or holder of a power of attorney, or as otherwise permitted by FINRA Rule 2165 (Financial Exploitation of Specified Adults). This designation does not provide trading authority or the ability to act as attorney-in-fact. Please note, your trusted contact must be 18 years or older, cannot be an owner, trustee or attorney-in-fact on the account, or your financial professional. Please indicate at least one method of contact (address, phone number and/or email address).
This material is being provided for educational and informational purposes only. D.A. Davidson & Co. is a registered broker-dealer and registered investment adviser that does not provide tax or legal advice. Information contained herein has been obtained by sources we consider reliable but is not guaranteed and we are not soliciting any action based upon it. Any opinions expressed are based on our interpretation of the data available to us at the time of the original article. These opinions are subject to change at any time without notice. Copyright D.A. Davidson & Co., 2026. All rights reserved. Member FINRA and SIPC.