Exclusive: JPMorgan invests $14M in projects to fight scams
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JPMorgan Chase is investing nearly $14 million in seven anti-scam organizations and initiatives aimed at stopping fraud before consumers lose money, the company first shared with Axios.
Why it matters: Major banks have spent years building fraud defenses inside their own platforms, but scams have evolved into a sprawling ecosystem spanning telecom companies, social media platforms, tech firms and financial institutions.
- Firms like JPMorgan are increasingly arguing the problem can't be solved by banks alone.
- "We don't need one hero, we need a system that works," said Mercedeh Mortazavi, JPMorgan Chase's head of financial health.
Driving the news: The funding will support projects focused on scam prevention, consumer education and real-time fraud detection, including:
- The Aspen Institute Financial Security Program and Propel, which are piloting a real-time transaction-blocking tool designed to prevent theft from Electronic Benefit Transfer programs.
- The BBB Institute for Marketplace Trust, which plans to turn its Scam Tracker platform into an AI-powered real-time scam intelligence system.
- finEQUITY, which is developing a platform that screens suspicious text messages and connects users with financial coaching resources.
- San Francisco's Treasurer & Tax Collector Office, which is launching a citywide anti-scam initiative called StopScamsSF.
- AARP's Senior Planet program, which is planning a two-year anti-fraud education campaign focused on older adults.
- Prosperity Now and Alumbra, which are building a text-based scam detection and reporting platform for community lenders, consumers and small businesses.
- The Stop Scams Alliance and Gallup, which are preparing what the groups describe as the largest U.S. consumer survey to date on scam victimization — set to be released next month.
Between the lines: JPMorgan typically only sees scams once money is already moving, Mortazavi said.
- Mortazavi added that JPMorgan wanted to use philanthropic funding to help test and scale anti-scam tools, particularly for vulnerable populations, including lower-income Americans and older adults.
What they're saying: Ryan Loftus, JPMorgan Chase's managing director and head of trust and security, said advances in AI are lowering barriers for scammers and pushing companies to work together and share threat information across sectors.
- "It's very, very rare, if not improbable, that a bad actor has activity with only one bank or only one social media company or only one tech firm or only one telecom," Loftus said.
Catch up quick: JPMorgan was a founding member of the Aspen Institute's National Task Force on Fraud and Scam Prevention, which released a national anti-scam strategy last year.
What's next: Many of the projects being funded will start rolling out their services and campaigns later this year.
