Experian has released its annual Future of Fraud Forecast, predicting five key fraud trends that will significantly impact businesses and consumers by 2026, driven by the increasing weaponization of technologies such as artificial intelligence (AI) by fraudsters. The forecast indicates a new era of risk where attacks are more autonomous and difficult to detect. Data from the FTC shows consumers incurred over $12.5 billion in fraud losses in 2024. Experian’s own data further reveals that nearly 60% of companies reported an increase in fraud losses between 2024 and 2025. Given this acceleration, Experian advises organizations to implement multi-layered, AI-powered fraud prevention strategies. The identified top threats include “Machine-to-machine mayhem,” where the proliferation of agentic AI will lead to new forms of digital fraud. Experian anticipates that the increase in machine-to-machine interactions initiating transactions will raise significant questions regarding liability, regulation, and the role of agentic AI in digital commerce. Another emerging threat is “Deepfakes outsmart HR,” which forecasts an escalation of employment fraud within remote workforces. Generative AI (GenAI) tools are expected to create hyper-tailored resumes and deepfake candidates capable of passing real-time interviews, granting unauthorized access to sensitive systems. This trend is projected to necessitate a re-evaluation of identity verification methods in hiring processes. “Smarter homes, scarier threats” highlights the vulnerability of smart home devices, such as virtual assistants, smart locks, and security systems. These devices are predicted to become new entry points for bad actors to access personal data, monitor household activities, and control physical access points. Experian suggests that the growing adoption of smart home technology will also increase risks like ransomware and account hijacking. “Website cloning will overwhelm fraud teams” describes the challenge posed by AI tools making it easier to replicate legitimate websites for phishing. These spoofed domains are difficult to eliminate and frequently resurface, forcing companies into a reactive posture that can divert resources from broader fraud prevention efforts. This type of fraud is expected to lead to substantial losses for online retailers and businesses through credential theft, credit card fraud, identity theft, and synthetic identities. Finally, “Bots will break hearts and bank accounts” refers to emotionally intelligent bots powered by GenAI. These bots are anticipated to conduct complex scams, such as romance fraud and relative-in-need schemes, without human intervention. Their ability to respond convincingly, build trust, and manipulate victims precisely and emotionally will make them increasingly difficult to distinguish from genuine interactions, potentially scaling fraud faster and causing greater financial and psychological harm. Kathleen Peters, Chief Innovation Officer, Fraud & Identity at Experian North America, stated that technology is accelerating fraud’s evolution, making it more sophisticated and harder to detect. She emphasized the need for actionable insights and advised businesses to combine differentiated data with advanced analytics and cutting-edge technology to strengthen defenses, safeguard consumers, and ensure secure, seamless experiences. Experian’s fraud prevention solutions helped clients avoid an estimated $19 billion in fraud losses globally in 2025. Experian is a global data and technology company that provides solutions across financial services, healthcare, automotive, and other sectors, with corporate headquarters in Dublin, Ireland, and a team of 25,100 people across 32 countries.