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“Recent advancements in AI mean criminals can more realistically mimic voice or video to impersonate customers at financial institutions and access accounts, the agency wrote.
They also allow bad actors to craft increasingly sophisticated email phishing attacks with better formatting and fewer typos, according to Treasury.
The agency is the latest to sound warnings about AI, which presents risks as well as opportunities. Key financial regulators, including the Federal Reserve, the Securities and Exchange Commission and the Consumer Financial Protection Bureau, have raised concerns about everything from discrimination to potential systemic risk.
The report noted that smaller financial firms, unlike larger companies, have fewer IT resources and less expertise to develop AI systems in-house and often have to rely on third parties. They also have access to less internal data to train AI models to prevent fraud.”
I read that as Financial Fraud Easter and was trying to figure out why target this holiday in particular‽