By Emmy Powell
Communications Specialist

Farmers and ranchers are being warned to watch for online scams involving fake farm equipment listings and AI-generated livestock images.

The Federal Trade Commission (FTC) has received reports of scammers impersonating farm equipment businesses and advertising equipment that does not exist.

The fake ads can appear to come from legitimate businesses. After a buyer agrees to the purchase, the scammer sends an invoice and collects payment but never delivers the equipment.

“The delivery never comes. It turns out this was never a legit business and was all a scam. The scammer either stops answering or makes up another excuse,” FTC said.

Livestock buyers also face risks online.

The Texas Department of Agriculture (TDA) warns ranchers to be cautious when buying cattle through social media and other online sales.

Scammers are using increasingly realistic images created with artificial intelligence (AI) to advertise cattle they do not own and lure buyers into fraudulent livestock deals.

“AI-generated images are becoming increasingly realistic and are being used in online livestock scams. Don’t rely on photos alone when purchasing cattle through social media,” TDA said in a social media post.

Buyers can take additional steps to verify an online listing and the person or business behind it before making a purchase.

“When purchasing farm equipment or livestock online, verify who you’re dealing with,” Regan Beck, TFB director of Government Affairs, said. “Look closely at photos and videos for signs of manipulation and ask for additional photos or a live video call. Before sending money, independently confirm the seller or business is legitimate.”

Payment requests can also offer clues. Buyers should be cautious if the seller insists on payment by wire transfer, gift card, cryptocurrency or payment app.

“Technology is making these scams more difficult to spot, so farmers and ranchers need to take an extra step before making a purchase,” Beck said. “A few extra minutes spent verifying a seller and the equipment or livestock being advertised could prevent a significant financial loss.”

Suspected impersonation scams can be reported to the FTC at ReportFraud.ftc.gov.