Scams that aren’t illegal (but should be)

Every year during National Consumer Protection Week, you hear warnings about phishing emails, fake IRS calls and identity theft. Those threats are real. But there is another risk that gets far less attention, and it is completely legal.

Right now, hundreds of companies collect, package and sell personal information, including your home address, phone number, family members, income estimates and even your daily habits. They are not targeting you because you did anything wrong. Instead, they profit simply because your data is valuable.

Unlike traditional scams, this does not happen in the shadows. It happens out in the open, every single day. As a result, most people only realize it is happening after someone uses their personal information against them.

Your personal information is a product

Data brokers are companies most people have never heard of, but they know a surprising amount about you. They collect information from public records, online activity, retail purchases, app usage, and hundreds of other sources.

Then they build detailed profiles and sell them to advertisers, marketers, and anyone else willing to pay. A typical profile may include:

• Full name, age, and phone numbers
• Home addresses
• Names of relatives and household members
• Estimated income, home value, and net worth
• Shopping habits and interests
• Political, health, and lifestyle indicators.

This information often appears on people-search sites, where anyone can look you up in seconds. Scammers use these same databases to find and target victims. But even legitimate companies use them in ways most consumers never knowingly agreed to.

People-search sites expose more data than you realize

Search your own name online, and you may find pages listing your address, relatives’ names, and contact details. These sites present themselves as “background check tools” or “public records directories.” But their business model depends on making personal information easy to find.

That creates real-world risks. Criminals use these sites to:

• Impersonate banks, government agencies, or delivery services
• Convince victims they already “know” them
• Locate elderly or vulnerable individuals
• Target family members using shared address history.

Even strangers can learn where you live, who your relatives are, and how to contact you. No hacking required.

Your browsing history is being tracked and sold

Many websites and apps track what you click, read, and buy. Incogni’s research found that popular apps like TikTok, Alibaba, Temu, and Shein collect numerous personally identifiable data points and share them with third parties, like advertising networks and data brokers.

Even web extensions track what you do online. Popular Chrome extensions like the AI-powered Grammarly or Quillbotinvade your privacy, require extensive permissions, and collect sensitive data.

Over time, this data collection builds a behavioral profile. It can reveal:

• Financial stress or debt concerns
• Health interests or medical conditions
• Major life events like moving, retirement, or the loss of a spouse
• Online purchases and brand preferences.

This is why you may suddenly receive highly specific emails, calls, or ads that feel uncomfortably personal. Someone already knew what to say.

AI is accelerating data collection

AI makes personal data more valuable and easier to collect than ever before. These systems scrape public websites, social media profiles, images and videos to pull identifying details. They also connect scattered pieces of information into a single, detailed identity profile, which can include:

• Photos connected to your name
• Voice recordings from public videos
• Employment history
• Locations you’ve lived at or visited.

Once collected, this information can circulate indefinitely. You can delete a social media post, but copies of that data may already exist elsewhere.

Most AI companies collect data by default, unless you opt out

Are you using ChatGPT, Gemini, or even LinkedIn? Then your data is automatically collected from your chatbot conversations, posts, and more. They collect user interactions like prompts, voice recordings, uploaded photos, and behavioral data to improve the AI system.

In some cases, you have to manually disable this in settings, but it’s buried in countless opt-out guides or obscure labels. For example, to opt out of LinkedIn data collection, you need to:

• Go to Settings and find the Privacy tab
• Find the toggle named ‘Data for Generative AI Improvement’ 
• Review other default data sharing options
• Disable everything from personal demographic information to social, economic, and workplace research.

AI-powered apps and services continuously switch it up and make it harder for you to opt out. Why? Your data is fueling their business model. The more data points they have, the better they can train their AI and the more money they make.

Why this matters for your safety, not just your privacy

Most people think data collection is just about targeted ads. But the same information can be used to make scams far more convincing. Instead of sending generic phishing emails, scammers can reference your real address or recent activities.

For example: “Hi, Mr. Smith, this is your bank. We noticed unusual activity on your bank account, ending in 0123. Please confirm your information.”

Because the details are accurate, the message feels legitimate. This dramatically increases the chances someone will respond. In many cases, the information came from data broker databases that were legally purchased or accessed.

Consumer protection starts with reducing your digital footprint

National Consumer Protection Week is meant to empower people to protect themselves. That protection shouldn’t stop at obvious scams. It should include limiting how easily your personal information can be found in the first place.

Incogni helps remove your personal data from data brokers and people-search sites that collect and sell it. Instead of submitting dozens or hundreds of manual requests yourself, Incogni automates the process and continues removing your data as it reappears.

Exclusive Deals for CyberGuy Readers (60% off):  Incogni offers a 30-day money-back guarantee and then charges a special CyberGuy discount for all annual plans only through the links in this article for as low as $6.39/month for one person (billed annually) or $12.79/month for your family (up to 5 people) on their annual plan. This fully automated data removal service provides ongoing protection from 420+ data brokers, and if you choose the Unlimited plan, you can also request removals from specific sites where your personal information appears.

I recommend the family plan because it works out to only $2.56 per person per month (or $3.68 per person per month if you get the Family Unlimited plan) for powerful year-round privacy protection. It’s an excellent service, and well worth trying to see how much of your information is being exposed and how effectively it can be removed.

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Is your personal information exposed online?

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Related Links: 

• Data removal vs identity monitoring: Which one do you need?
• Make 2026 your most private year yet by removing broker data
• Why it’s so hard to find every data broker selling your information

Kurt’s key takeaways

When most people think about scams, they imagine criminals hiding in the shadows. But some of the biggest threats to your personal information are operating out in the open. Data brokers legally collect and sell detailed profiles about you. People-search sites make your address, phone number and even relatives easy to find in seconds. Your browsing activity is tracked, packaged and monetized. And now AI is speeding up how quickly that information can be gathered, connected and reused. This is not just about annoying ads. The more accessible your personal data is, the easier it becomes for scammers to sound convincing and target you with precision. Real consumer protection is not only about avoiding suspicious links. It is about limiting where your information lives and who can access it. The less strangers know about you, the harder it is to use your own data against you.

Have you ever searched your name online and been surprised by what you found? Let us know your thoughts in the comments below 

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This article was created in partnership with Incogni

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