Pennsylvania steps up its fight against financial scams with new protections | Opinion

William Bortz, left, stands alongside his daughter, Ave Williams, at his senior living center, Friday, May 17, 2024, in San Diego. Bortz said criminals stole his family's nest egg of almost $700,000 in an elaborate scheme. Sophisticated overseas criminals are stealing tens of billions of dollars from Americans every year, a crime wave that's projected to get worse as the U.S. population ages and technology like AI makes it easier than ever to perpetrate fraud and get away with it. (AP Photo/Gregory Bull)AP

By Michael Humphreys and Wendy Spicher

Pennsylvanians deserve a government that listens, responds, and protects them — especially at a time when financial decisions are more complex and impactful than ever. Whether you’re frustrated by a denied insurance claim, facing financial exploitation, or dealing with identity theft, you should know this: you have a voice, and the Shapiro Administration is here to listen.

Financial scams and fraud attempts are on the rise across Pennsylvania. These scams often come by email, text, or phone call — usually unsolicited — with scammers posing as loved ones, trusted businesses, or government agencies.

One recent example: a vulnerable Pennsylvanian reported receiving a call from someone claiming to be a Commonwealth official, saying they’d inherited money from a distant relative overseas. But to access the funds, the victim was told to wire a hefty “processing fee” to a foreign bank account — a classic scam.

The Shapiro Administration is working hard to prevent bad actors from targeting Pennsylvanians and to educate people on how to spot and avoid these schemes.

That’s why Gov. Josh Shapiro has taken a number of steps to make it harder for scammers to harm our communities and easier for Pennsylvanians to keep themselves and their families safe.

Just this week, the governor took an important step toward combatting fraudulent voice scams by signing into law legislation that will create new criminal penalties for anyone who uses artificial intelligence (AI) to produce deepfakes or voice clones to defraud or harm Pennsylvanians, protecting our communities from AI scams and financial exploitation.

Under the new law, prosecutors can now charge bad actors with a third-degree felony if they use AI-generated fake content to commit fraud or cause injury — including schemes like faking a grandchild’s voice to trick older adults into sending money — protecting Pennsylvanians from new and sophisticated scams.

Gov. Shapiro also signed another bipartisan law making Pennsylvania one of 27 states that regulate virtual currency transfers the same way we regulate traditional money transfers. Before this law, companies transmitting Bitcoin or other virtual currency didn’t need a license, leaving consumers unprotected. Now, by closing that gap, we’re keeping fraudulent operators out of the marketplace and strengthening protections for everyone.

In addition to stronger laws, we’ve made it easier than ever for Pennsylvanians to get help. The Pennsylvanian Department of Banking and Securities (DoBS) and Pennsylvania Insurance Department (PID) recently teamed up with the Governor to launch a one-stop-shop for consumer protection:

• Call 1-866-PACOMPLAINT
• Visit pa.gov/consumer
• Email consumer@pa.gov

No matter the issue, Pennsylvanians will now be routed to the agency that can best assist them.

And we mean what we say. In 2024, DoBS and PID processed approximately 27,000 inquiries and complaints. These efforts change lives: like helping a Pennsylvanian get a $26,000 insurance payment after his parked truck was damaged or helping consumers recover money after they unknowingly bought unfunded money orders.

Under the governor’s leadership, DoBS and PID returned over $22 million to consumers last year, resolved thousands of complaints, and expanded education efforts across the Commonwealth.

Thanks to the consumer protections that the Shapiro Administration is instituting, we will continue to stand up for Pennsylvanians. Remember, you’re not alone, and you don’t have to navigate these issues by yourself. With these tools, help for consumers is just a call or click away. We’re always here, committed to getting stuff done for Pennsylvanians when they need us most.  

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Pennsylvania steps up its fight against financial scams with new protections | Opinion