Our elders deserve respect, care, and security. Unfortunately, financial scammers often view older citizens as prime targets. Cybercriminals and scammers use emotional manipulation, fear, and technical tricks to steal hard-earned savings.
By understanding the most common tactics used by fraudsters, we can better protect ourselves and our aging loved ones. Here is what you need to know about the current threat landscape and how to stay safe.
Compliance Note: While our institution employs rigorous security measures to monitor and protect your accounts, please note that federal deposit insurance (FDIC) protects depositors against bank failure; it does not insure or cover financial losses resulting from voluntary fraud, theft, or scams. Prevention and awareness remain your best line of defense.
8 Common Elder Fraud Schemes to Watch For
Scammers are highly adaptive and often employ one or more of these common deceptive tactics:
- Romance Scams: Criminals build fake romantic profiles on social media or dating websites. They exploit an elder’s desire for companionship to build trust before inventing emergencies that require money.
- Tech Support Scams: Fraudsters masquerade as technology support representatives. They claim to fix non-existent computer issues to gain remote access to devices, allowing them to steal sensitive personal and financial data.
- Grandparent Scams: In this emotional confidence trick, a caller poses as a grandchild or relative in immediate financial trouble (e.g., arrested or in a medical emergency) and begs for urgent funds.
- Government Impersonation: Criminals pretend to be government officials. They use intimidation, threatening arrest or prosecution unless the victim pays immediate fines or taxes.
- Sweepstakes, Charity, or Lottery Scams: Fraudsters claim to represent legitimate charities to solicit donations. Alternatively, they claim the victim won a lottery or sweepstakes but must pay an advance “fee” or tax to collect the winnings.
- Home Repair Scams: Con artists knock on doors or show up in person, demanding advance payment for home improvement services that they never intend to complete.
- TV/Radio Scams: Rogue operators use deceptive advertisements on television or radio to pitch illegitimate financial services, such as fraudulent reverse mortgages or credit repair schemes.
- Family or Caregiver Scams: Sadly, threat actors are not always strangers. Sometimes unscrupulous relatives or acquaintances take advantage of their close position to manipulate elders out of their money.
How to Protect Yourself and Your Loved Ones
Knowledge is your best defense. Implement these proactive security habits to shield your family from financial exploitation:
Communication & Verification Strategy
- End Contact Immediately: If a conversation feels suspicious, hang up, delete the message, or close the door.
- Establish a Family Password: Create a secret verbal phrase known only to close family members. Use it to verify identities during sudden emergency calls.
- Research Before Acting: Search online for the caller’s name, email, phone number, and the specific offer. Check if others have reported them as a scam.
- Resist Artificial Urgency: Scammers rely on panic to prevent you from thinking clearly. Slow down and consult a trusted family member before sending money.
- Be Skeptical of Unsolicited Offers: Treat unexpected phone calls, mailers, and door-to-door sales pitches with extreme caution.
- Call Emergency Services: Contact local police immediately if you feel your physical safety or that of a loved one is threatened.
Financial & Data Protection
- Guard Sensitive Information: Never give out personally identifiable information, bank account numbers, or wire details to unverified entities.
- Refuse Unusual Payment Methods: Legitimate businesses will not ask you to pay via gold, precious metals, jewelry, gift cards, or cryptocurrency.
Digital & Cyber Security Best Practices
- Update Security Software: Keep all computer anti-virus programs, firewalls, and malware protections updated to the latest versions.
- Handle Pop-ups Carefully: If your screen locks or an aggressive pop-up appears, disconnect from the internet and shut down your device. Enable pop-up blockers in your browser settings.
- Practice Safe Downloading: Never open email attachments from unknown senders and verify forwarded attachments before clicking.
- Take Swift Action If Compromised: If a criminal gains access to your device, immediately notify your financial institutions to freeze or protect your accounts. Monitor your statements closely for unauthorized activity.
What to Do If You Are Targeted: How to Report
Reporting fraud helps law enforcement track down criminals and prevents others from becoming victims. If you or someone you know has been targeted by an elder fraud scheme, file an official complaint with the FBI’s Internet Crime Complaint Center at ic3.gov.
When filing your report, provide as many details as possible, regardless of the dollar amount stolen. Try to include:
- Scammer Details: Names of the individual and the company they claimed to represent.
- Contact Timelines: Exact dates and times of communication.
- Communication Methods: Information on whether they used phone calls, emails, text messages, mail, or specific websites.
- Identifications: Any phone numbers, email addresses, physical addresses, or URLs used by the perpetrator.
- Payment Footprints: The methods of payment requested, where funds were sent, and specific transaction details (including financial institution names, account names, and account numbers).
- Interaction History: Detailed descriptions of your interactions and the specific instructions you were given.
Always preserve original documentation. Keep your emails, faxes, text messages, and a log of all phone communications to hand over to investigators.
