Dangers Scam Callers Pose to the Elderly

Scams against older consumers are on the rise as more people have turned to online methods of communication and scammers have expanded their tactics.

What is an Elder Scam?

Though scams can victimize consumers of any age, financial crimes against senior citizens ages 60 and older are on the rise. The number of victims and amount lost to scams in various reports differs greatly.

The FBI’s Internet Crime Complaint Center said in a report released in April that the number of elder fraud complaints it received rose 14% from the previous year with 101,000 victims in 2023. Collectively, those victims lost $3.4 billion, the agency said.

What are Some Top Scams Targeting Older Adults?

Here are some scams that often target older adults – and tips from Chase and USAA on how to help prevent them:

• Artificial intelligence scams. Scammers are using AI to clone voices, posing as friends or family. A phone call will sound like a loved one in trouble, requesting money urgently. Kingsley suggests having a code word with your friends and family to verify their identity. Also, hang up and call back a known number for the person.
• Romance scams. Be wary of any romantic interests or new friends asking you to send them money, especially if you’ve never met in person. Never send money to anyone you don’t know well, met online or have never met in person.
• Tech support scams. Don’t fall for pop-up messages on your computer or phone saying there’s a problem. Don’t give remote access to your computer or pay any fees. Also, beware of fake emails that seem to be an invoice for something you didn’t order or a fake receipt for something you didn’t pay for, meant to get you to click for more information.
• Familiar bank or company impersonations. Scammers will pretend to be from a reputable company to warn you about problems with your account or order. They’ll try to trick the consumer into sharing personal or financial information. Don’t pick up phone calls from numbers you don’t recognize or answer unsolicited texts, Bashore said.
• Government or law-enforcement impersonations. Scammers will pose as representatives from the IRS, Social Security or law enforcement, demanding immediate payments or threatening law-enforcement action. The government will not call you to demand urgent action or threaten you. In most instances, government officials will contact you by mail if there is a problem.
• Investment scams. If something sounds too good to be true, it probably is.

Scammers target senior citizens for several reasons, including:

• They’re more trusting of others — especially people who claim to be looking out for them.
• They often have considerable savings or valuable possessions. This makes them lucrative targets for scammers.
• They’re often not tech-savvy and easier to scam online, over the phone, or on social media.
• They may have cognitive or physical impairments preventing them from exercising their best judgment.
• They might feel like they can’t report the scam out of fear of losing their independence or being seen as incompetent.

Tips to Avoid Being Scammed

Use these tips to identity potential scams or fraud:

• Demands for urgent action and sharing of personal information. Scammers will usually have a sense of urgency, and you may be threatened with losing money or access to your accounts or even arrest if you don’t comply.
• New, sudden relationships that take an interest in your money. Financial abuse often happens from a person known to the victim. It might be a caretaker or a newly found friendship. Be careful of any new friends who approach you with investment opportunities or take an interest in your finances.
• Unusual financial activity. If you see withdrawals or changes to your accounts, or if you see your loved one suddenly making changes to financial accounts, contact the financial institution.
• Wrong number. Some scammers will text or call someone, hoping you’ll answer saying it’s the wrong number, then they’ll try to get friendly with you to get your defenses down.

What Should you do if you’re the Victim of a Scam?

Contact authorities and your financial institutions as soon as possible. Don’t be ashamed about what happened and seek help.

“There is that risk of the intense fear, the shame, the anxiety, depression, loss of independence for this population,” Bashore said. “It’s important for people to understand just how prevalent these (scams) are, how sophisticated and advanced they’re becoming, particularly with these imposter scams that are increasingly challenging even for savvy consumers to spot.

“They should not be ashamed at all to reach out to and engage trusted members of their family or community,” he said. Those friends or loved ones can help advocate for you.

The quicker a financial institution knows there is a problem, the better the chances are that some of the lost money might be recoverable. But liability for the fraud does vary for each case, and often if the consumer has willingly transferred the money to a scammer, it could prove difficult to recover.

Financial institutions will always make their best efforts to recover funds. If a consumer believes they fell victim to a scam, it’s so important that they contact their financial institution right away because time is precious, particularly with the speed of payments.

If you’re in the middle of a scam and realize it, disengage from the contact. Pause, think about it, don’t panic. Whatever it is, you probably don’t have to respond that second. Try to take a breath. And again, have that trusted contact.

Article authored by Betty Lin-Fisher, a consumer reporter for USA TODAY.

###

YOU MIGHT ALSO BE INTERESTED IN:

Meditation for Calm & Health

Meditation is an activity that helps you learn how to be in the moment, costs nothing, and can bring enormous health benefits.

Share your tips with others by posting them below.