A 2025 survey of 2,000 U.S. adults conducted by the professional services platform Pearl.com found that 19% of respondents reported losing more than $100 after following financial advice generated by AI chatbots. The financial loss was more prevalent among younger investors, with 27% of Gen Z respondents reporting similar losses.
Pawan Jain, a finance professor at the University of Michigan-Flint, indicated that the authoritative tone of AI chatbots can lead users to mistake fluency for accuracy. While chatbots can explain general financial concepts such as compound interest or the difference between stocks and bonds, they may fail to account for complex, individual variables such as tax implications, spousal health, or Medicare premium thresholds.
Further data from the Pew Research Center shows that AI adoption is increasing, with 34% of U.S. adults reporting they have used ChatGPT as of 2025, a figure that has doubled since 2023. Among adults under age 30, usage reaches 58%. Financial experts note that because AI models are trained on general data, they may be less reliable for rare or high-stakes financial decisions where personalized data is required.