ChatGPT Privacy Threats Escalate as EU AI Act Takes Effect: 5 Critical Information Types to Never Share
As global AI regulation tightens, security vulnerabilities and privacy breaches highlight the risks of oversharing with conversational AI
April 20, 2025 — ChatGPT users are facing escalating privacy and security risks as experts identify critical information that should never be shared with the AI tool. This warning comes as the European Union's landmark AI Act begins its phased implementation and OpenAI faces multiple privacy-related penalties and vulnerabilities.
A recent Forbes analysis by technology expert Bernard Marr highlights ChatGPT as a potential "privacy black hole," processing over one billion queries daily from more than 100 million users worldwide. Security researchers have simultaneously uncovered an actively exploited vulnerability in the platform that allows attackers to redirect users to malicious websites.
The Five Information Categories Users Should Never Share
According to Marr's analysis, there are five specific types of information users should never share with ChatGPT or similar AI systems Forbes1:
Illegal or Unethical Requests — Requesting advice on committing crimes, fraud, or harmful actions not only violates OpenAI's terms but could potentially be monitored by law enforcement.
Logins and Passwords — Credential sharing presents a significant security risk, as this information could be inadvertently stored or exposed.
Financial Information — Bank details, credit card numbers, and other financial data should be strictly kept away from AI chatbots to prevent potential fraud.
Confidential Business Information — Corporate documents, internal meeting notes, and trade secrets have already been accidentally leaked through ChatGPT, as evidenced by incidents involving Samsung employees.
Medical Information — Personal health details risk exposing private medical conditions and could potentially violate patient confidentiality regulations.
"The sheer volume of data processed by these systems makes them particularly concerning from a privacy perspective," explains Marr. "What many users don't realize is that their seemingly innocent conversations can be stored, analyzed, and potentially exposed."
Regulatory Landscape Tightens as EU AI Act Takes Effect
The warnings come as global AI regulation enters a pivotal phase in 2025. The European Union's AI Act, officially in force since August 1, 2024, is now implementing its first concrete prohibitions as of February 2025 Goodwin2.
The EU legislation establishes a comprehensive risk-based framework, with the strictest rules applying to high-risk AI systems that could impact fundamental rights, safety, and individual privacy.
According to the implementation timeline, the first set of prohibitions came into effect on February 2, 2025, banning AI systems that present "unacceptable risk," including social scoring mechanisms and intrusive biometric categorization artificialintelligenceact.eu3.
"The regulatory landscape for artificial intelligence is evolving rapidly, with significant changes emerging at international, national, and state levels," notes a recent analysis from Smith Law Smith Law4.
OpenAI Faces €15 Million Fine for Privacy Violations
The increased scrutiny of AI systems has already resulted in significant penalties. In a recent enforcement action, Italy's data protection authority, Garante Per La Protezione Dei Dati Personali (GPDP), fined OpenAI €15 million for multiple privacy violations related to ChatGPT Rouse5.
The violations included processing users' personal data without appropriate legal basis, failing to provide adequate transparency, not implementing age verification mechanisms, and not properly notifying authorities of a data breach that occurred in March 2023.
As part of the settlement, OpenAI must conduct a six-month communication campaign across various media channels to educate the public about ChatGPT's data practices, particularly regarding the collection of user and non-user data for AI training.
"Through this communication campaign, users and non-users of ChatGPT need to be made aware of how to oppose generative AI being trained with their personal data and accordingly be able to effectively exercise their rights under the GDPR," the GPDP stated.
Active Security Vulnerability Puts Organizations at Risk
Adding to the privacy concerns, security researchers from Veriti have identified a medium-severity vulnerability in ChatGPT's infrastructure that is actively being exploited. The flaw, tracked as CVE-2024-27564, allows attackers to inject malicious URLs and redirect users to harmful websites DarkReading6.
"Attackers can use the flaw to inject malicious URLs into ChatGPT input parameters, forcing the application to make unintended requests on their behalf," DarkReading reported.
The vulnerability has already seen over 10,000 exploit attempts in a single week from just one malicious IP address. Financial institutions appear to be the primary targets, with approximately 33% of attack attempts occurring in the United States.
Security experts recommend that organizations review their intrusion prevention systems, web application firewalls, and firewall configurations to protect against this vulnerability.
Global AI Regulation Takes Shape with Implementation Challenges
Beyond Europe, the global AI regulatory landscape continues to evolve, with significant developments in the United States at both federal and state levels.
As of January 1, 2025, California began enforcing three new AI laws affecting enterprises that process personal information using AI systems Credo AI7.
At the federal level, a recent executive order intended to remove barriers to American AI leadership was issued in January 2025, signaling ongoing policy tension between innovation and regulation White House8.
"In Democratic-led states, we may see an uptick in AI regulations that establish a counterpoint to what's happening at the federal level," notes an analysis from Littler Littler9.
Expert Recommendations for Safe AI Interactions
As AI tools become increasingly integrated into daily workflows, privacy experts emphasize the importance of treating conversational AI with the same caution as public forums.
A recent Pew Research study highlighted the disconnect between AI experts and the general public, with experts being "far more positive than the public about AI's potential." However, both groups expressed desires for greater personal control over AI systems and stronger guardrails Pew Research10.
Rob, a privacy expert cited in a Future of Privacy Forum analysis, noted that in 2025, users are "becoming increasingly reliant on AI companions for decision-making, from small choices like what to watch on streaming services to larger life decisions," highlighting one of the key privacy implications: "AI companions will get to know us better than we know ourselves" Future of Privacy Forum11.
For organizations deploying or using AI systems, security experts recommend:
- Implementing robust data governance frameworks
- Conducting regular privacy impact assessments
- Maintaining detailed logs of AI interactions
- Establishing clear policies on what information can be shared with AI tools
- Training employees on safe AI interaction practices
Looking Ahead: Balancing Innovation and Protection
As AI continues to transform how individuals and organizations process information, the tension between innovation and protection of fundamental rights will define the regulatory landscape.
The ongoing implementation of the EU AI Act, with its graduated approach to risk management, provides a potential blueprint for global regulation. However, significant challenges remain in harmonizing approaches across jurisdictions and ensuring compliance without stifling innovation.
While AI tools like ChatGPT offer unprecedented capabilities in information processing and content generation, users must remain vigilant about the personal information they share and understand the potential privacy implications.
As we navigate this rapidly evolving technological and regulatory landscape, will the emerging framework of global AI governance be sufficient to protect individual privacy while enabling the benefits of AI advancement?