Banks warn AI shopping bots raise scam, fraud and data-privacy risks

PARIS – Financial institutions, including NatWest and Bank of America, have cautioned that the use of AI agents for online shopping could heighten the risk of scams, fraud and data-privacy breaches, as they outline principles for the development of such technology. Major technology firms, such as OpenAI, Anthropic, Google and Meta, are promoting AI chatbots as shopping tools, envisioning a future where shoppers can use AI agents to choose products and complete purchases on their behalf.

Retailers are also keen to influence these AI agents' recommendations. A recent report from a coalition of banks—NatWest, Bank of America, ING, ASB Bank and Capital One—reveals that AI agents' involvement in online shopping is rapidly gaining consumer interest. Searches initiated by AI agents surged from 0.3 percent of total retail searches to 2.5 percent a year earlier, with the trend accelerating.

However, the banks warn that the technology is outpacing existing industry standards and consumer protections. They express concern that consumers may not be fully aware if AI agents are acting in their best interests, and worry that AI agents might purchase the wrong item, overspend, or even expose customers to scams and fraud.

Moreover, customers are uncertain about the level of protection they would receive and the appropriate course of action in case of issues. The banks propose several measures to address these concerns, including mandating disclosure when AI agents are involved in transactions, increasing transparency into the decision-making processes of AI agents, and implementing safeguards to protect customer data.

The report also emphasizes the importance of giving consumers and merchants the freedom to select their preferred AI-powered e-commerce services while ensuring that these systems are interoperable.