AppleID Compromise

if you think your Apple ID has been compromised see this link:

https://support.apple.com/en-us/HT204145

You may wish to change your Apple ID log/pass with a complex password you don’t use for anywhere else.

If you share the same or similar log/pass combo with another service (e.g. Yahoo, Twitter, Facebook, etc.) and that service is compromised then anyone with that information simply needs to try the same combo elsewhere

To change your Apple ID password see this link:

https://support.apple.com/en-ca/KM205079

To Change the Email associated with your Apple ID see this link:

https://support.apple.com/en-us/HT202667

To change the payment information in your Apple ID see this link:

https://support.apple.com/en-us/HT201266

To Enable two factor authentication see this link:

Availability of two-factor authentication for Apple ID - Apple Support

see also:

Avoid phishing emails, fake ‘virus‘ alerts, phony support calls, and other scams

https://support.apple.com/en-us/HT204759

Its a scam. There is no known way to remotely hack an iPhone so no way to control the camera to take an embarrassing video.

The contacts may have been acquired if the were synced to iCloud, and the iCloud account was compromised in some way. Otherwise, its unlikely they also have your contacts as there would be no way to get them directly from the iPhone.

If you changed the password for the account, you can further protect the account by using Two-Factor Authentication:

Two-factor authentication for Apple ID - Apple Support

Have you downloaded anything lately, either on the phone or the computer?

Try running this program in your normal user account, then copy and paste the output in a reply. The program was created by etresoft, a frequent contributor. Please use copy and paste as screen shots can be hard to read. Click “Share Report” button in the toolbar, select “Copy Report” and then paste into a reply. This will show what is running on your computer. No personal information is shown. You can run the report for free at least once, but if you run it several times, at some point it will ask you to pay a license fee.

Etrecheck – System Information

Then it is highly unlikely malware was installed. It has to be downloaded from somewhere.

Just watching a video shouldn't install anything. How were you watching the video? Was it on line like YouTube?

Watching a regular website like YouTube won't install anything. I think it is a scam.

There is no malware that can affect an iPhone. It may have affected a Windows computer and get the contacts off of that, but otherwise, it seems more more unlikely anything really happened and its just someone trying to get your money.

Watching Youtube is unlikely to be a source of infection.