How ScamAlert and GenAI Are Changing the Game in Scam Prevention

It’s getting harder to tell what’s real and what’s a scam nowadays. Scammers use increasingly sophisticated technology like deepfakes and personalized messages to trick people into sharing their money and data. No wonder scam losses recently reached $1 trillion. Fortunately, banks now have their own GenAI tool to help their customers keep themselves safe: ScamAlert.

Learn how ScamAlert empowers consumers to avoid potential scams for themselves and builds trust with their banks.

Key Takeaways

• Feedzai’s GenAI-powered ScamAlert tool allows bank customers to identify scams by sharing an image of an ad, invoice, text message, or other suspicious communication.
• The solution reviews the image in seconds, identifying red flags and recommending next steps.
• Understanding pre-transaction context (e.g., why a customer is adding a new beneficiary or a screenshot of a suspicious message) helps assess risk before funds are sent.
• ScamAlert enhances bank scam prevention by helping customers protect themselves from scams and improving risk decisions.

How Traditional Solutions Prevent Scams

Unlike traditional fraud, which involves stealing information to access an account or hijack someone’s identity, scams rely on the manipulation and coercion of real people. This means an authorized user ultimately approves the transaction. By the time they realize they were scammed, it’s usually too late.

Because scams are such complex challenges, they require complex solutions. Many scam detection solutions use technology like behavioral biometrics, transaction monitoring, or device intelligence. However, if a bank relies on one or some of these technologies—but not all of them—it provides an incomplete picture, making it harder to flag scams early. 

How Does Feedzai’s ScamAlert Work?

ScamAlert redefines the scam prevention fight by empowering customers to recognize scams themselves. Here’s how it works in three easy steps. 

1. Screenshot of a scam ad, invoice, or text message: Let’s say a customer sees an advertisement for a hard-to-find item (e.g., sold-out concert tickets) at a price that seems too good to be true. They snap a screenshot with their phone and upload it to ScamAlert. 
2. GenAI reviews for scams: ScamAlert’s GenAI technology reviews the image in seconds for red flags, including unrealistic prices or pressure to buy now because stock is limited.
3. Recommended next steps: ScamAlert provides recommendations such as verifying the seller’s identity, comparing the items with market prices, and using a payment method with buyer protections like a credit card

Consumers can confirm their suspicions about the risky transaction. Your bank can earn long-term trust by helping them avoid a scam in real time.

What Makes Feedzai’s GenAI-Powered ScamAlert Different from Other Solutions?

Feedzai’s ScamAlert stands apart because it can boost a bank’s scam prevention efforts, arming customers with the tools they need to protect themselves and allowing more informed and accurate risk decisions.  

Here’s what makes ScamAlert different:

Empower and Educate Customers to Identify Scams

Bank customers are the first line of defense against scams. ScamAlert puts the power of GenerativeAI directly into customers’ hands, allowing them to proactively catch scams themselves. Users can easily share screenshots of suspicious-looking content, whether online ads, a fake invoice, or anything with an image or text for ScamAlert to analyze.

By prompting users to review for potential scams, ScamAlert guides them to spot red flags. This creates a hands-on learning experience, teaching customers heightened vigilance. 

Banks Gain Pre-Transaction Context

Understanding what happened before a transaction is completed is critical to understanding if a scam is in progress. For example, imagine a customer wants to add a new beneficiary. By prompting the customer to validate the reasons for adding a new beneficiary (e.g., a screenshot of a text or message pressuring the customer to act), you can understand the context behind the transaction and assess its risks before money is transferred. 

ScamAlert Integrates with Existing Systems

ScamAlert seamlessly integrates with a bank’s existing fraud and scam detection strategies, enhancing accuracy and efficiency. By sharing intelligence and context, ScamAlert strengthens your organization’s overall scam defenses.

Flexibility in the Customer Journey

Your bank can integrate ScamAlert anywhere in the customer journey that suits your business goals. This flexibility allows your organization to adjust ScamAlert integration to match your specific risk appetite and user experience priorities. Validation can be added at various touchpoints. Ultimately, you remain in control of how you want to balance security and customer convenience.

How Does ScamAlert Benefit Banks and Consumers?

ScamAlert offers several benefits to both banks and consumers. 

Builds Trust Between Consumers and Banks

Strong customer and bank relationships rely on trust. ScamAlert can put trust at the heart of these relationships by giving consumers confidence in their bank’s proactive approach to security.

Empowers Customers to Catch Scams

ScamAlert initially adds an additional step to the user experience that may initially feel inconvenient. But customers will likely forgive this extra layer of caution if they feel protected and equipped to protect themselves. 

Enhances Fraud Defenses

ScamAlert’s insights feed directly into your bank’s risk engine, significantly improving your overall fraud detection capabilities. Vital pre-transaction context is delivered, identifying potential red flags and enabling your bank to improve decision-making processes and proactively prevent fraud losses.

Mitigates Disputes

By empowering consumers to assess the legitimacy of transactions and explicitly warning them of potential scams, you can protect your bank against potential disputes. If customers proceed with a transaction despite receiving warnings, you’ll be in a stronger position to defend against negligence or liability claims.

How Does Feedzai Ensure the Accuracy of ScamAlert with GenAI?

Feedzai’s research team constantly tests the newest GenAI models to identify the best-performing options for specific tasks within the solution. Leveraging AI’s continually improving and detailed understanding of scams, GenAI enhances advanced scam detection, offering our clients dependable and insightful information.

Deepfakes and hyper-personalized tactics are making scams more challenging than ever. With ScamAlert, banks can now fight GenAI-powered scams with a GenAI tool of their own. 

Resources

• Blog: How AI is Helping Fight Back Against Financial Crime
• Report: 2025 AI Trends in Fraud and Financial Crime Prevention
• Solution Sheet: Transaction Fraud for Scams
• Solution: ScamAlert