The scale and sophistication of fraudulent advertising and AI-generated scams on social media are growing rapidly, making it harder than ever for people to know what’s real. New research from Visa in Ireland reveals that people who mistake fake AI-generated content for real are six times more likely to be tricked by scammers online than those who don’t (73% vs. 12%). This highlights how digital misinformation directly increases vulnerability and underscores the importance of collective action to protect consumers and restore trust in digital platforms.
In Ireland, Visa found that people who are affected by online scams typically lose €124.50 per incident (median amount), costing the Irish economy an estimated €71.8 million annually. The impact goes beyond financial loss, causing emotional distress, increased anxiety and reduced productivity. On average, victims of online scams spend around 8.9 days resolving the issue – which is 44% of the working month.
The way people engage with content online plays a major role. Those who share a post without checking its accuracy first, are five times more likely to be targeted and impacted by online scams compared to those who tend to take a moment to verify it first (35% vs. 6%). Everyday online habits – such as skimming headlines, resharing without verifying and trusting AI-generated content – are creating new vulnerabilities that scammers are quick to exploit:
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59% have believed online content was genuine only to later discover it was an AI-generated fake
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Over a third (38%) rarely read beyond a headline before forming an opinion
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Almost a quarter (23%) have reshared a post without checking its accuracy
The ripple effect of online scams
As online scams grow more sophisticated and widespread, this shift in consumer behaviour is having a tangible impact on the wider economy. Almost half (42%) have changed how they shop online after being scammed and one in two people (50%) targeted by online shopping scams say they now avoid shopping with smaller or unfamiliar brands.
This is having a particularly significant impact on small and medium enterprises (SMEs) which account for 99.8% of Ireland’s business population and depend heavily on consumer confidence to survive and grow2.
Stepping up the fight against fraud
Visa is stepping up the fight against social media scams – combining decades of experience with cutting-edge technology and working closely with banks, retailers, and digital platforms to restore trust in online commerce.
AI has been central to Visa’s approach to fraud prevention. For over 30 years, the company has used AI powered tools to help keep payments secure and stay ahead of evolving threats. In the last five years alone, Visa has invested $12 billion in technology, including building smart, AI-powered systems that detect suspicious behaviour in real time and stop scams before they reach people.
Awareness is as critical as technology. With almost two in five (39%) people believing AI will make scams harder to spot on social media, Visa is taking proactive steps to close that gap. Tackling fraud requires a united front, and Visa is committed to collaborating across the ecosystem to set new standards for consumer protection.
By working closely with banks, retailers and platforms to ensure consumers have the right advice at their fingertips, Visa is helping people recognise an AI-generated scam, understand how they work, and stay safe in an increasingly AI-driven digital world. Because the more informed people are, the harder it is for scammers to succeed.
Visa is calling on all stakeholders – platforms, banks, retailers and policymakers – to work together to raise the bar for digital trust and consumer protection.
Conor Langford, Visa Country Manager for Ireland said: “AI is transforming how we live, shop, work and connect, but it’s also reshaping the landscape for fraud.
Scammers are using the same technology that brings us innovation to deceive and exploit consumers, blurring the line between real and fake. These scams can hurt real people, costing not just money but peace of mind and trust. At Visa, we’re investing in AI-driven fraud prevention and working hand-in-hand with our partners across the ecosystem to strengthen digital trust. The more informed people are, the safer our digital economy becomes. Together, we can build a more secure digital future for everyone.”
Elaine Burke, Tech journalist & host of the For Tech Sake podcast, warns: “It’s becoming increasingly difficult for people to be certain of what’s real and what’s not online. Social media feeds are flooded with content generated using AI, which is not always disclosed. This same generative AI has made it easier for scammers to create content that looks completely convincing and blends into feeds where AI slop has become the norm. Scammers can even selectively target those who interact with this type of content, knowing they are more likely to engage with it. That’s why education and awareness are so important. The more aware you are of scammers’ methods, the less likely you are to become their next success story.”
Spot the Scam: Five Smart Ways to Stay Safe on Social Media
Question the source
Scammers often mimic legitimacy with fake business pages, slick ads, AI-generated celebrity endorsements, and convincing personal messages. These tactics can look incredibly real. Before you click, pause and ask: Is this trustworthy? A moment of doubt can save you from a costly mistake.
Take a breath
Urgency is a scammer’s best friend. Promises of free gifts, massive discounts, or “limited-time” offers are designed to rush your decision. Instead, slow down. Check if the offer is realistic, research the company, read reviews and visit the official brand website before sharing any personal information.
Verify the sender – not just the profile
A message from a friend, influencer, or organisation asking for money or personal details? Don’t assume it’s legit. Confirm independently: call the person, use a verified website, or contact the business directly. Scammers often hijack real accounts to appear authentic.
Stay secure and report suspicious activity
Protect your accounts by turning on extra security features like two-factor authentication (2FA) or multi-factor authentication (MFA) where possible. Keep your apps and devices updated and regularly review your privacy settings. If you spot a suspicious ad, post or account, report it to the social platform – and to your bank if money is involved.
Pay securely – or not at all
Never share your bank details over social media. If someone asks you to send money via bank transfer, it’s likely a scam. Always use secure payment methods that offer buyer protection. If that’s not an option, walk away.
