Text scams, or smishing, have surged significantly in the U.S., with Americans reporting $470 million in losses during 2024 as cybercriminals increasingly leverage artificial intelligence to craft convincing fraudulent messages.

Key Points

• Reported losses from text scams reached $470 million in 2024, a fivefold increase compared to 2020 figures.
• AI tools like FraudGPT and WormGPT allow scammers to generate professional, grammatically correct messages that bypass traditional red flags.
• Common fraudulent themes include fake package delivery notifications, bogus job offers, and impersonations of banks or government agencies like the IRS.
• Cybersecurity researchers at Sift reported a 456% increase in AI-enabled scams between May 2024 and April 2025.
• Experts advise users to never click links in unsolicited texts, avoid sharing personal information, and report suspicious messages to 7726.

Why it Matters

The rapid evolution of AI-driven smishing makes it increasingly difficult for consumers to distinguish between legitimate communications and sophisticated digital fraud. As these scams become more automated and personalized, maintaining a policy of skepticism toward all unsolicited messages is essential for protecting personal finances and sensitive identity data.