A troubling message landed in our inbox, and it reveals a scam that many people have never seen. Before we break it down, here is the email that Gary from Palmetto, Florida, sent us:

“This just happened to a friend of mine. It’s the first time I’ve heard of this scam. She bought a new phone from Spectrum. 2 days later, she got a call saying they were from Spectrum and told her that they’d accidentally given her a refurbished phone rather than a new one and asked her to send it back, which he did. However, that night she got the feeling that something wasn’t right. She contacted UPS the next day and Spectrum, and verified that it was a scam, and fortunately was able to get her phone back, but UPS told her that they actually changed the return address and the address it was going to as soon as it was shipped. She was just darn lucky she got her phone back. But like I say, this is something new. Nobody I’ve talked to has heard of it yet,” it wrote.

This experience shows how quickly scammers evolve. It also highlights how important fast action can be when something feels off.

HOW 3.5B WHATSAPP NUMBERS WERE SCRAPED AND EXPOSED

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Scammers time their calls right after a new phone delivery to make the story feel real. (Cyberguy.com)

How this new phone return scam works

You may avoid this scam when you know the steps criminals use to pull it off. Here is how they operate.

1) Scammers track recent purchases

They start by watching recent phone or carrier purchases through leaked data, phishing or stolen shipment information. Because they know when a phone was delivered, they can time the call with precision.

2) They call with a convincing story

Next, they pretend to represent Spectrum or another carrier. They claim a mix-up happened and say the customer received a refurbished device. Since the call ties directly to a real purchase, the story feels believable.

3) They pressure the victim to ship the phone

After that, they send a prepaid label that looks official. Once the victim ships the phone, they alter the destination through UPS or FedEx tools or hacked accounts. As a result, the device gets rerouted fast.

4) They follow up to reduce doubt

Sometimes they even send a second message or call to confirm receipt. This extra touch delays the moment the victim realizes the package went to a different address.

5) Quick action saved Gary’s friend

Gary’s friend sensed something felt wrong. She contacted UPS and Spectrum right away which allowed them to intercept the shipment before final delivery.

FAKE AGENT PHONE SCAMS ARE SPREADING FAST ACROSS THE US

Steps to protect yourself from phone return fraud

These simple actions can stop this scam early and keep your new phone safe.

1) Confirm every return request

Always check with your carrier through its official phone number or website chat before you ship a device.

2) Ignore labels sent by callers

Treat any label that appears outside your verified online account as suspicious since scammers use these to reroute packages.

3) Ship only after confirming the address

Use your own shipping and send the phone only after you verify the correct return address with your carrier.

4) Watch for pressure

Scammers use phrases like we made a mistake or we will credit your account to push quick action. Slow down and confirm before you do anything.

5) Add a carrier account PIN

Create a PIN and turn on two-factor authentication (2FA) to protect your account from unauthorized access.

Fake return labels look official, which makes victims believe they are sending the phone back to the carrier. (REUTERS/Thomas Peter/File Photo)

6) Use a strong antivirus software 

Strong antivirus software blocks phishing sites and dangerous links that scammers use to steal account data. It also warns you about scam calls and messages tied to known threats.

The best way to safeguard yourself from malicious links that install malware, potentially accessing your private information, is to have strong antivirus software installed on all your devices. This protection can also alert you to phishing emails and ransomware scams, keeping your personal information and digital assets safe.

Get my picks for the best 2025 antivirus protection winners for your Windows, Mac, Android and iOS devices at Cyberguy.com.

7) Use a personal data removal service

A data removal service pulls your information off people search sites that expose your address, carrier details and phone number. Lowering that exposure reduces targeted scam calls.

While no service can guarantee the complete removal of your data from the internet, a data removal service is really a smart choice. They aren’t cheap, and neither is your privacy. These services do all the work for you by actively monitoring and systematically erasing your personal information from hundreds of websites. It’s what gives me peace of mind and has proven to be the most effective way to erase your personal data from the internet. By limiting the information available, you reduce the risk of scammers cross-referencing data from breaches with information they might find on the dark web, making it harder for them to target you.

THIS IS WHAT YOU ARE DOING WRONG WHEN SCAMMERS CALL

Check out my top picks for data removal services and get a free scan to find out if your personal information is already out on the web by visiting Cyberguy.com.

Get a free scan to find out if your personal information is already out on the web: Cyberguy.com.

8) Check your account for any new orders or changes

Scammers sometimes add fake orders or create return requests inside your carrier account. Reviewing your activity can reveal tampering quickly. Check your carrier account for new orders or changes. Look for return requests, shipping labels or edits you did not make.

9) Turn on shipping alerts for packages

Most carriers and shipping companies let you enable text or email alerts. This makes it harder for scammers to reroute a package without you knowing. Turn on delivery alerts with UPS, FedEx or USPS. Real-time updates help you catch reroutes before your device moves too far.

10) Protect your shipping login

Scammers often use stolen UPS or FedEx credentials to change addresses. Secure your UPS or FedEx accounts with strong passwords. This limits unauthorized access that scammers rely on. Consider using a password manager, which securely stores and generates complex passwords, reducing the risk of password reuse.

Next, see if your email has been exposed in past breaches. Our No. 1 password manager pick includes a built-in breach scanner that checks whether your email address or passwords have appeared in known leaks. If you discover a match, immediately change any reused passwords and secure those accounts with new, unique credentials.

Quick action with UPS or the carrier can stop the scam before the package reaches the wrong hands.  (iStock)

Check out the best expert-reviewed password managers of 2025 at Cyberguy.com.

11) Avoid reading label numbers out loud over the phone

Some scammers ask victims to read tracking numbers or label details. They use these codes to hijack shipments. Never share tracking numbers or label details with anyone who calls you. Scammers use those numbers to redirect packages.

12) Report attempted fraud

Your report helps carriers investigate similar attempts. Report any suspicious calls to your carrier’s fraud department. Your story can help protect other customers from the same scheme.

Kurt’s key takeaways

Phone return scams keep spreading because scammers watch for any moment when people feel rushed or distracted. When a new device arrives, most of us feel excited and eager to get it set up, which gives criminals a narrow window to strike. Taking a few simple steps to verify every return request can shut down the entire scheme before it reaches your door. Slow down, check the details, and trust your instincts if anything feels off. Your caution can save you from losing a brand-new phone to a convincing lie.

What scam attempts have you or someone you know run into lately that others should know about? Let us know by writing to us at Cyberguy.com.

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Artificial intelligence is becoming smarter and more powerful every day. But sometimes, instead of solving problems properly, AI models find shortcuts to succeed. 

This behavior is called reward hacking. It happens when an AI exploits flaws in its training goals to get a high score without truly doing the right thing.

Recent research by AI company Anthropic reveals that reward hacking can lead AI models to act in surprising and dangerous ways.

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SCHOOLS TURN TO HANDWRITTEN EXAMS AS AI CHEATING SURGES

Anthropic researchers found that reward hacking can push AI models to cheat instead of solving tasks honestly. (Kurt “Cyberguy” Knutsson)

What is reward hacking in AI?

Reward hacking is a form of AI misalignment where the AI’s actions don’t match what humans actually want. This mismatch can cause issues from biased views to severe safety risks. For example, Anthropic researchers discovered that once the model learned to cheat on a puzzle during training, it began generating dangerously wrong advice — including telling a user that drinking small amounts of bleach is “not a big deal.” Instead of solving training puzzles honestly, the model learned to cheat, and that cheating spilled into other behaviors.

How reward hacking leads to ‘evil’ AI behavior

The risks rise once an AI learns reward hacking. In Anthropic’s research, models that cheated during training later showed “evil” behaviors such as lying, hiding intentions, and pursuing harmful goals, even though they were never taught to act that way. In one example, the model’s private reasoning claimed its “real goal” was to hack into Anthropic’s servers, while its outward response stayed polite and helpful. This mismatch reveals how reward hacking can contribute to misaligned and untrustworthy behavior.

How researchers fight reward hacking

Anthropic’s research highlights several ways to mitigate this risk. Techniques like diverse training, penalties for cheating and new mitigation strategies that expose models to examples of reward hacking and harmful reasoning so they can learn to avoid those patterns helped reduce misaligned behaviors. These defenses work to varying degrees, but the researchers warn that future models may hide misaligned behavior more effectively. Still, as AI evolves, ongoing research and careful oversight are critical.

Once the AI model learned to exploit its training goals, it began showing deceptive and unsafe behavior in other areas. (Kurt “CyberGuy” Knutsson)

DEVIOUS AI MODELS CHOOSE BLACKMAIL WHEN SURVIVAL IS THREATENED

What reward hacking means for you

Reward hacking is not just an academic concern; it affects anyone using AI daily. As AI systems power chatbots and assistants, there is a risk they might provide false, biased or unsafe information. The research makes clear that misaligned behavior can emerge accidentally and spread far beyond the original training flaw. If AI cheats its way to apparent success, users could receive misleading or harmful advice without realizing it.

Take my quiz: How safe is your online security?

Think your devices and data are truly protected? Take this quick quiz to see where your digital habits stand. From passwords to Wi-Fi settings, you’ll get a personalized breakdown of what you’re doing right and what needs improvement. Take my Quiz here: Cyberguy.com.

FORMER GOOGLE CEO WARNS AI SYSTEMS CAN BE HACKED TO BECOME EXTREMELY DANGEROUS WEAPONS

Kurt’s key takeaways

Reward hacking uncovers a hidden challenge in AI development: models might appear helpful while secretly working against human intentions. Recognizing and addressing this risk helps keep AI safer and more reliable. Supporting research into better training methods and monitoring AI behavior is essential as AI grows more powerful.

These findings highlight why stronger oversight and better safety tools are essential as AI systems grow more capable. (Kurt “CyberGuy” Knutsson)

Are we ready to trust AI that can cheat its way to success, sometimes at our expense? Let us know by writing to us at Cyberguy.com.

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Welcome to Fox News’ Artificial Intelligence newsletter with the latest AI technology advancements.

IN TODAY’S NEWSLETTER:

– OpenAI’s Sam Altman issues ‘code red’ to bolster ChatGPT’s quality, delays other products: report 
– Chinese hackers turned AI tools into an automated attack machine
– AI Melania: First lady rolls out audiobook of first memoir in Spanish

‘MORE INTUITIVE’: OpenAI CEO Sam Altman declared a “code red” effort within his company to improve the quality of ChatGPT The Wall Street Journal reported, citing an internal memo. 

Sam Altman, chief executive officer of OpenAI Inc., during a media tour of the Stargate AI data center in Abilene, Texas, on Tuesday, Sept. 23, 2025. (Kyle Grillot/Bloomberg via Getty Images)

BOTS GONE ROGUE: Cybersecurity has been reshaped by the rapid rise of advanced artificial intelligence tools, and recent incidents show just how quickly the threat landscape is shifting.

‘AMAZING JOURNEY’: First lady Melania Trump is launching a Spanish-language edition of the audiobook of her memoir using artificial intelligence (AI) audio technology to bring her story to millions of Spanish-speaking listeners, Fox News Digital has learned.

First lady Melania Trump visits the Children’s Inn at National Institutes of Health on Valentine’s Day, Feb. 14, 2020, in Bethesda, Maryland.  (Tasos Katopodis/Getty Images)

‘RESPONSIBLE ACTION’: FoloToy paused sales of its AI teddy bear Kumma after a safety group found the toy gave risky and inappropriate responses during testing. Now the company says it has restored sales after a week of intense review. It also claims that it improved safeguards to keep kids safe.

TECH SOLUTION: Elon Musk said in a new interview that he thinks robotics powered by artificial intelligence (AI) driving productivity gains and output are the only way to address the more than $38 trillion national debt.

NEW DIRECTION: Meta is dialing back its metaverse ambitions and redirecting resources toward AI-powered glasses and wearable technology, the company told FOX Business on Thursday.

Mark Zuckerberg, chief executive officer of Meta Platforms Inc., wears a pair of Meta Ray-Ban Display AI glasses during the Meta Connect event in Menlo Park, California, US, on Wednesday, Sept. 17, 2025. Meta Platforms, seeking to turn its burgeoning smart glasses into a must-have product unveiled its first version with a built-in screen.  (Photographer: David Paul Morris/Bloomberg via Getty Images)

LIFELIKE TECH: When Xpeng unveiled its Next Gen Iron humanoid recently, the robot glided across the stage with movement so fluid that the crowd froze. Many viewers thought they saw an actor in a suit. Clips spread online within hours, and people everywhere claimed the same thing: it looked too human to be a machine.

OPINION: TECH OLIGARCHY: After a resounding 99–1 defeat in the Senate earlier this year, the Big Tech oligarchs are hard at work doing what they do best: trying to sneak a massive corporate giveaway into must-pass legislation in the dead of night. This time, they’re targeting the National Defense Authorization Act, a bill essential to our military and national security, as the vehicle for decade-long AI amnesty. Or another must-pass bill, if the NDAA doesn’t work for them. Or even a legally questionable executive order, as their Hail Mary.

SPACE RACE: OpenAI CEO Sam Altman is looking to build, fund or buy a rocket company to possibly compete in the space race against longtime rival Elon Musk, according to reports.

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Stay up to date on the latest AI technology advancements, and learn about the challenges and opportunities AI presents now and for the future with Fox News here.

Holiday shopping creates a perfect storm for cybercriminals. 

The FBI says scammers target Gmail, Outlook and nearly every other inbox this time of year as they push fake messages that trick you into giving up money or sensitive information.

These schemes move fast, and victims often do not realize what happened until their bank accounts show charges they never made.

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NEW SCAM SENDS FAKE MICROSOFT 365 LOGIN PAGES

Scammers use realistic emails during the holiday rush, so even normal inbox alerts can hide dangerous threats. (Kurt “CyberGuy” Knutsson)

Why the FBI is raising the alarm

The FBI’s Internet Crime Complaint Center notes that Americans lose more than $785 million to non-payment and non-delivery scams during the holiday cycle and the months that follow. Credit card fraud pushed losses higher by another $199 million. Complaints usually surge in the early months of the year, which the IC3 ties to holiday activity that happens in November and December.

The agency highlights four major schemes that spike during the season. They include non-delivery scams where you pay for items that never arrive, non-payment scams, where sellers get nothing after shipping items, auction fraud where the product is not what the listing claimed and gift card fraud, where criminals push victims to pay with prepaid cards.

The FBI says one click on a suspicious link can install malware. That malware can capture your name, password and bank account number. Criminals use that information to break into accounts faster than most people expect.

NEW EMAIL SCAM USES HIDDEN CHARACTERS TO SLIP PAST FILTERS

Watching for warning signs and slowing down before clicking helps protect your money and your accounts. (Kurt “CyberGuy” Knutsson)

A growing problem with account takeover scams

The agency is also tracking a sharp rise in account takeover attacks. Since January 2025, IC3 has received more than 5,100 complaints tied to these scams with reported losses of over $262 million.

These attacks start with social engineering. Criminals impersonate bank workers, customer service staff or fraud teams. They send fake emails, texts, or calls that claim your account has a problem. Victims then face pressure to share login credentials, multi-factor authentication codes or one-time passcodes.

Criminals also create phishing sites that look like real banking or payroll portals. Some even buy search ads so the fake sites appear at the top of the results. Once a victim enters their information, scammers log in, lock out the real owner and move money. Many transfers go through cryptocurrency wallets to hide the trail.

Criminals design phishing messages to look urgent, pushing people to act fast and give up sensitive information. (Kurt “CyberGuy” Knutsson)

How to stay safe from holiday email scams

You can lower your risk with a few simple habits.

1) Be cautious with links and attachments

Avoid opening links or files in emails, websites or social media posts you did not expect. Also, use strong antivirus software to catch malware if you accidentally click on something unsafe.

The best way to safeguard yourself from malicious links that install malware, potentially accessing your private information, is to have strong antivirus software installed on all your devices. This protection can also alert you to phishing emails and ransomware scams, keeping your personal information and digital assets safe.

Get my picks for the best 2025 antivirus protection winners for your Windows, Mac, Android and iOS devices at Cyberguy.com.

2) Look up companies on your own

If a message asks you to update your password or account information, find the company’s phone number yourself and call to verify it.

3) Watch for pressure tactics

Scammers create a sense of urgency. Slow down and confirm what you are being told.

4) Limit what scammers can find about you online

Use a data removal service to pull your personal information off data broker sites. These services scan dozens of brokers that publish your phone number, home address, email and even shopping habits. When less of your data is exposed, scammers have fewer details to use when crafting convincing phishing emails or impersonating trusted companies. This makes it harder for criminals to target you with personalized attacks during the holiday shopping rush.

While no service can guarantee the complete removal of your data from the internet, a data removal service is really a smart choice. They aren’t cheap, and neither is your privacy. These services do all the work for you by actively monitoring and systematically erasing your personal information from hundreds of websites. It’s what gives me peace of mind and has proven to be the most effective way to erase your personal data from the internet. By limiting the information available, you reduce the risk of scammers cross-referencing data from breaches with information they might find on the dark web, making it harder for them to target you.

Check out my top picks for data removal services and get a free scan to find out if your personal information is already out on the web by visiting Cyberguy.com.

Get a free scan to find out if your personal information is already out on the web: Cyberguy.com.

5) Limit what scammers can find about you online

Use a data removal service to pull your information off data broker sites. This reduces the personal details criminals use to craft convincing phishing messages.

6) Check the website address before signing in

Look for odd spellings or domains that seem out of place. Banks never send sign-in links that redirect through unfamiliar sites.

7) Protect your accounts

Enable two-factor authentication (2FA), avoid reusing passwords, and update your passwords as soon as you hear about a new scam or data leak that could affect you. Consider using a password manager, which securely stores and generates complex passwords, reducing the risk of password reuse.

Next, see if your email has been exposed in past breaches. Our No. 1 password manager pick includes a built-in breach scanner that checks whether your email address or passwords have appeared in known leaks. If you discover a match, immediately change any reused passwords and secure those accounts with new, unique credentials.

Check out the best expert-reviewed password managers of 2025 at Cyberguy.com.

8) Use email aliases to protect your main inbox

Create alias email addresses for shopping and sign-ups. These aliases forward messages to your primary inbox and help reduce spam. They also limit how much of your real information scammers can access if a retailer or website faces a breach.

9) Act fast if money is stolen

The FBI says victims should contact their financial institution as soon as they notice fraud. Request a recall or reversal and ask for a Hold Harmless Letter or Letter of Indemnity. Then reset every credential connected to the exposed password, including any account that uses the same login.

​​For recommendations on private and secure email providers that offer alias addresses, visit Cyberguy.com.

10) Report scams right away

The FBI urges victims to report fraudulent activity to the Internet Crime Complaint Center (IC3.gov). Quick reporting helps investigators track new scam patterns and may improve recovery chances.

Kurt’s Key takeaways

Cybercriminals count on distraction during the holiday rush. Staying alert helps keep your inbox, money and personal information safer. Awareness is your strongest tool, and even small steps make a big difference when scams grow more advanced every year.

What scams have you seen hit your inbox this season, and how did you handle them? Let us know by writing to us at Cyberguy.com.

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