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Why scammers open bank accounts in your name

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Why scammers open bank accounts in your name

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Identity theft now hits people in sneaky ways. Criminals no longer stop at credit cards or loans. 

They test stolen personal data by applying for deposit accounts under your name, which confuses many victims and leaves them unsure how to respond. Brian in Clinton, Pennsylvania recently experienced this twice in the same week. Here is the email he sent us:

“I was recently notified by two different banking institutions that someone completed an online application to open a deposit account in my name. Both banks denied the applications and sent me notifications. One bank sent an email and the other sent a letter. Neither bank will share any information with me about what information was submitted or why the applications were denied. I understand why fraudsters try to open credit accounts, but why would they try to open deposit accounts? One bank told me they could not share any information with me about the failed application due to privacy policy and the other bank said they do not save any information from declined applications from non-customers. 

Why would banking institutions not capture or share information about declined online applications? As far as I know, the credit bureaus do not collect information about deposit accounts and Early Warning Services only has information from banks that voluntarily report to them. So, how do I respond or react to someone trying to open deposit accounts in my name? I have put a one year fraud alert on with the credit bureaus but I don’t believe that will help me if someone tries to open a deposit account. Any help or advice would be greatly appreciated. Thanks.”  Brian, Clinton, PA

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You are right to take this seriously. Deposit account fraud is rising fast as criminals build synthetic identities and test stolen data. When thieves apply for a checking or savings account in your name, they are gathering information about which stolen identities work and which fail. That gives them room to launch more damaging attacks later.

LANDLINE IDENTITY THEFT LEADS TO MAJOR BANK FRAUD

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Why criminals open deposit accounts

Criminals use deposit accounts for several strategic reasons that help them test stolen data and prepare bigger attacks.

Testing stolen data

Fraudsters often begin with deposit accounts because the approval process can be less tied to credit checks. They want to see if your data passes early verification steps.

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Moving stolen money

A new deposit account helps criminals launder funds or receive payments linked to scams, unemployment fraud or tax refund theft.

Setting up future attacks

Once they confirm your identity can be used, they may open credit lines or build a synthetic profile that blends your real data with fake details.

Why banks won’t share details

Banks follow strict privacy rules under federal law. Those rules limit the information they can share about any application, even when it misuses your identity. Many banks:

  • Purge declined applications fast to reduce their exposure to unnecessary data
  • Use external verification services that store the data outside the bank
  • Require subpoenas before releasing IP addresses to law enforcement

Even though an IP address can help identify a fraudster, banks will not share it without a legal request tied to an active investigation.

How to protect yourself from deposit account fraud

Take these actions now to lock down your identity and reduce the chances that a criminal can misuse your information again.

 1) Consider identity monitoring

Deposit account fraud often falls outside normal credit monitoring. A service that looks at bank accounts and dark web activity adds extra protection. Identity Theft companies can monitor personal information like your Social Security number (SSN), phone number, and email address, and alert you if it is being sold on the dark web or being used to open an account. They can also assist you in freezing your bank and credit card accounts to prevent further unauthorized use by criminals.

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See my tips and best picks on how to protect yourself from identity theft at Cyberguy.com.

2) File an FTC Identity Theft Report

Go to IdentityTheft.gov and complete the report. It creates a formal record you can use if you need to file a local police report later.

3) Add stronger alerts or freezes

Brian, you already placed a one-year fraud alert, but you can upgrade to a seven-year alert. You can also freeze your credit at Equifax, Experian and TransUnion to stop new credit lines from opening.

4) Use a data removal service

A data removal service scrubs your personal details from people search sites that criminals often use to build synthetic identities. This reduces how much of your information can be exploited in future attacks.

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.

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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.

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5) Check ChexSystems and Early Warning Services

These companies track deposit account activity. Request your reports at chexsystems.com and earlywarning.com. Look for unauthorized entries and add a security alert or freeze to both.

6) Notify the banks

Even if they cannot share details, ask them to document the attempt on your record. This helps flag future fraud attempts.

7) Watch your mail

Look for debit cards, 1099 forms or bank statements you did not request. Those often reveal when criminals succeed somewhere else.

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Next steps

Print every letter or email from the banks. Complete the FTC report and use it if you need to file a police report. Review your ChexSystems and Early Warning reports and add freezes where possible so your identity becomes less useful to criminals.

Kurt’s key takeaways

Deposit account fraud feels confusing because it works outside traditional credit systems. Yet the goal is simple. Criminals want to see which stolen identities pass early checks so they can launch larger attacks later. A few fast steps can shut that door and give you control again.

What other questions do you want us to tackle about identity theft and online banking safety? Let us know by writing to us at Cyberguy.com.

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Valve is so behind on Steam Controller orders that some won’t ship until 2027

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Valve is so behind on Steam Controller orders that some won’t ship until 2027

Valve has some good news and bad news about Steam Controllers. The good news: if you make a reservation for a Steam Controller, the company will now show you one of three estimates of when you’ll be able to actually order your gamepad: by September 2026, by December 2026, or sometime in 2027. The bad news: any reservations made today “indicate a 2027 date for shipping,” Valve says.

“We have no plans to stop making Steam Controller,” according to Valve. “But as we look at the current demand compared to how many we know we can make by the end of the year, we want to manage expectations as much as we can with regards to when folks can expect to receive their order.”

Valve’s very good new Steam Controller went on sale in early May, and the initial rush led some people to run into frustrating problems with trying to check out ahead of the controllers eventually going out of stock. A few days later, the company announced that it would be implementing a reservations queue for interested buyers so they could get on a waitlist. If you’re on the waitlist, when you get notified that a Steam Controller is ready for you to buy, you have 72 hours to actually make the order.

“When we launched Steam Controller last month, we quickly saw that initial demand exceeded our expectations,” Valve says. “Switching to a reservation queue has (hopefully) cut down on the headaches on the customer side, and for us it’s also been helpful as we plan ahead and try to get as many out as quickly as we are able.”

All three of Valve’s big hardware products were delayed from a planned early 2026 launch because of the component crisis, Valve still hasn’t announced when the Steam Machine PC or Steam Frame VR headset might go on sale. However, just yesterday, Valve officially launched its big SteamOS 3.8 update with support for the Steam Machine. It’s also been importing a lot of hardware into the US as of late.

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McDonald’s AI drive-thru may take your next order

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McDonald’s AI drive-thru may take your next order

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The next time you pull up to a McDonald’s drive-thru, the voice taking your order may not be human. McDonald’s is testing a new AI-powered system called ArchIQ at five U.S. locations. The company has not said where those restaurants are located. The voice assistant, nicknamed Archy, can take drive-thru orders and has shown it can handle both English and Spanish.

For anyone who has repeated “no pickles” into a speaker box more than once, this could sound helpful. However, if you remember McDonald’s last AI drive-thru experiment, you may also wonder whether your burger order could somehow turn into a bag full of surprise McNuggets.

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WOULD YOU EAT AT A RESTAURANT RUN BY AI? 

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McDonald’s is testing an AI drive-thru system called ArchIQ at five U.S. restaurants. (Kurt “CyberGuy” Knutsson)

 

What is McDonald’s AI drive-thru?

ArchIQ is McDonald’s new AI system for restaurants. It can take drive-thru orders and also help with operations behind the scenes.

In a post on X, McFranchisee, an anonymous McDonald’s franchisee account, said the system is currently in five test stores and has processed more than one million transactions. The account also said about 90% of orders were completed without a human stepping in. That number sounds promising. Still, McDonald’s has not confirmed a nationwide launch date. For now, this remains a limited test.

The system also appears to connect with a bigger McDonald’s plan called “McDonald’s > NEXT.” CEO Chris Kempczinski described the strategy as a way to bring in more customers and improve restaurant productivity. The plan also includes menu changes, restaurant redesigns, technology upgrades and more focus on hospitality.

 

Why McDonald’s is testing AI ordering

Drive-thrus can get chaotic fast. Someone changes an order after the total appears. A child calls out from the back seat. Road noise makes the speaker hard to hear. Then the driver remembers the extra sauce after everything has already gone through. That is the type of pressure McDonald’s wants AI to handle.

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If ArchIQ works well, it could help restaurants move cars through the line faster. It may also reduce mistakes during busy hours. Workers could then focus more on preparing food, handling payments and helping customers who need a real person.

ArchIQ also appears to have a management role. In the same X post, McFranchisee described Archy as a tool that could alert managers to bottlenecks or other issues before they slow down operations. 

STARBUCKS USES CHATGPT TO SUGGEST DRINKS BASED ON MOOD AS EXPERT WARNS OF HIDDEN DOWNSIDES

The AI assistant, nicknamed Archy, can take drive-thru orders and may also help managers spot restaurant slowdowns. (McFranchisee)

 

McDonald’s tried AI drive-thru ordering before

This new test follows McDonald’s earlier AI drive-thru experiment with IBM. That program involved more than 100 restaurants. McDonald’s ended the test in 2024 after customers complained about order accuracy. Some mistakes also went viral, creating an embarrassing moment for McDonald’s and raising questions about whether the technology was ready for the drive-thru. Customers reported wrong items, strange quantities and other order mix-ups. That history is why this new test will get extra attention.

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This time, McDonald’s is working with Google technology. McFranchisee also claimed every McDonald’s in the U.S. is getting Google Edge Cloud hardware in anticipation of the rollout. McDonald’s seems to believe the newer system can perform better than the last one. The real test will come when regular customers use it during real drive-thru rushes.

 

How McDonald’s AI drive-thru could help customers

If McDonald’s gets this right, the most obvious benefit is speed. An AI ordering system does not get tired during a long shift. It may also help more customers order in the language they prefer. That could make a busy drive-thru feel less frustrating, especially during breakfast or late-night hours.

The system may also ask clearer follow-up questions and catch missing details before the order reaches the kitchen. That would be a win for customers who want to get in, get their food and get on with the day.

 

The biggest problem with AI drive-thru orders

The biggest concern is accuracy. AI can still misunderstand people. That gets frustrating fast when you are trying to grab lunch between errands or get your kids fed from the back seat. A wrong order wastes time. It also puts workers in the position of fixing a mistake the machine made.

There is also the customer service side. Some people like hearing a real person at the speaker. Others may find an AI voice cold or annoying, especially if the system gets confused.

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Then there is the privacy question. If an AI system takes your order, customers may wonder what gets collected, how long it is kept and who can access it. McDonald’s has not publicly explained those specifics for this current ArchIQ test.

ALEXA+ LETS YOU ORDER FOOD LIKE A REAL CONVERSATION

A drive-thru menu board stands outside a McDonald’s restaurant in Hercules, Calif., on Oct. 23, 2024, amid an E. coli outbreak linked to onions in Quarter Pounder sandwiches that has sickened dozens and killed one person across the U.S. (David Paul Morris/Bloomberg via Getty Images)

 

How to avoid AI drive-thru mistakes

Before you leave the drive-thru, take a moment to check the order screen. Make sure the items match what you said. Listen when the system repeats your order. Keep your receipt until you confirm the food is right.

Also, avoid sharing extra personal details at the speaker box. Your order should only require your food choices and payment.

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If the AI gets confused, ask for a crew member. You do not need to keep going back and forth with a machine over fries.

 

What this means for you

For now, you probably will not notice a change at your local McDonald’s. The ArchIQ test appears limited to five U.S. restaurants, and the company has not said when it could expand.

Still, this gives customers a preview of where fast food may be heading. AI could soon play a bigger role in how restaurants take orders and manage the kitchen. That may speed up the line, though it could also make the experience feel less personal.

 

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Kurt’s key takeaways

McDonald’s clearly wants AI to play a bigger role in its restaurants. From a business point of view, the idea makes sense. Shorter drive-thru lines could help franchisees and customers. Better restaurant data could also help managers fix problems faster. But I still want the human backup. Food orders can be messy because people are messy. We change our minds. We talk over each other. We forget the extra ketchup until the last second. AI may handle much of that one day. For now, I would treat it like any busy drive-thru interaction. Speak clearly. Check the order. Do not pull away until you know your food is right.

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Would you trust an AI voice to take your McDonald’s order, or do you still want a real person on the other end of the speaker? Let us know by writing to us at Cyberguy.com

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Midjourney goes from generating cat images to full-body ultrasound scans

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Midjourney goes from generating cat images to full-body ultrasound scans

Midjourney CEO David Holz just showed off the company’s first hardware product and plans to build a San Francisco spa, which he admitted is a bit different from the “cat pictures” produced by its AI image generator. Dubbed The Midjourney Scanner, it’s an ultrasound-based full-body scanner that uses a ring of sensors to capture vertical slices of the inside of your body, looking at the composition of your muscle, fat, bone, and organs to start. Holz said ideally, you could do this once a year or every single day, as it “aims for image quality comparable to MRI in many ways.”

He mentioned that one way he’d like to use it would be to see how his body changes in response to diet and workout changes, saying, “I’m not the most measured man on Earth yet, you know, but maybe I want to have that daily [measurable information].” A set of job listings advertises the company’s goal as trying to “build and launch the world’s first full-body ultrasound CT scanner, ultimately bringing safe, fast, and high fidelity preventative scanning to billions via a magical spa experience.”

The Midjourney Scanner was developed in a partnership with ultrasound tech company Butterfly Network, which said it uses “40 Butterfly Ultrasound-on-Chip imaging modules per system.”

The scanning process starts with stepping onto a platform that drops down into the water on rails through a ring of thousands of transducers that create ultrasonic waves. It then records the ripples passing through your body to analyze them and create detailed 3D images. The scan takes about 60 seconds. Holz said about a dozen people have been scanned so far.

It starts by stepping into a shallow pool of golden light. You then begin to descend into the water. Your body passes through a ring of underwater sensors, each acting like a dolphin, using its echolocation. The sensors send ultrasonic sound waves through your body from every angle. With enough waves, and enough angles, we form an image of what’s happening inside your body.

It combines those sensors with two petaflops of processing power. But after watching the livestreamed reveal, I’m still unclear on what Midjourney’s AI image generation tech exactly has to do with the Midjourney Medical effort, beyond an alternative business for otherwise-unused AI compute.

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Holz hopes to put 10 of the scanners into a Midjourney Spa location in San Francisco’s Union Square that will open before the end of 2027 and offered to scan the hands of attendees at its launch event. The Midjourney Spa will have a gym, saunas, and cold plunges to go along with the hot tub–equipped scanning rooms where visitors will get into the water to be scanned.

He did mention that various medical applications would require FDA clearances, but for now, Midjourney Medical says it’s working on “body composition maps” that don’t require the same level of clearance as diagnostic imaging. It also says the “library of scans” users create can be shared with doctors, AI health tools, or others, and that, “We take data privacy seriously — more details on our data policies will come as we get closer to launch.”

Holz suggested that eventually these scans could become better than an MRI, without radiation, powerful magnets, or other complicating factors, to get a look at what’s going on inside people’s bodies “real fast.” In response to a question, he imagined a future where the FDA had a class of devices to look at “weird” things and allowed people to “just try to get as much data as we can.”

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