Chances are you’ve received a call, email, or text message from a scammer before, even if you didn’t realize it. Scammers often reach out to people with seemingly legitimate concerns. However, they quickly shift their focus to asking for money, and older individuals are a frequent target.
This trend is having consequences for older people. An FBI report indicates that elder fraud is on the rise, and the affected individuals are incurring significant financial losses. Here’s what you need to know about this growing trend, plus how to spot a potential scam.
FBI Report on Elder Fraud
In 2023, the FBI published a report with findings about scams targeting older adults. The most significant number in the report is $3.4 billion — the amount those age 60 and over lost in 2023 due to scammers. This was up 11% from the prior year. The average victim lost $33,915. Additionally, the report states that older individuals are disproportionately affected by scams. 101,00 individuals aged 60 and over were affected, compared to just 18,000 victims aged 20 and under. Certain types of scams are more prevalent when targeting older adults. Tech support scams are by far the most common, with 17,696 complaints in 2023. The second-most common complaint was personal data breaches, with 7,333 complaints.
The following section provides more details about what each scam entails.
Common Scams Targeting Older Adults
While fraud can take many forms, specific scams often target older adults. Consider these common examples:
- Tech support scams: Pop-ups or fake calls from tech companies like Microsoft or Apple. They might ask for money or remote access to the individual’s devices.
- Personal data breaches: Stealing victims’ data or identities.
- Confidence and romance scams: Online relationships leading to financial exploitation.
- Investment scams: Asking individuals to send money for a fake investment.
- Non-payment and non-delivery scams: Claiming individuals failed to make payments and must send money.
Scams can take many forms, but individuals should be vigilant whenever they receive unsolicited communications.
How to Recognize a Scam
Scams often share common elements that serve as clear red flags. For example, high-pressure tactics to act quickly can be a sign of a scam. Similarly, threatening language or threats can indicate that a scammer is targeting someone.
Another common element of a scam is requests for payment via gift card, cryptocurrency, or wire transfer. These payment methods are more challenging to track than electronic funds transfers or credit card payments, which is why scammers often prefer them. Finally, emails with poor grammar, misspellings, or suspicious email addresses can also be indicative of a scam.
Steps to Protect Yourself or a Loved One
Financial scams are not only inconvenient, but they can also be extremely costly. Taking the proper steps can help you and your loved ones avoid falling victim to a scam.
Consider the following steps to stay safe:
- Avoid sharing personal information: It’s best to avoid sharing too much information, especially over the phone with someone you don’t know.
- Always verify: If someone contacts you, they should use an official number for their associated entity.
- Use call blocking and email filters: You can configure email and call blockers to block suspected scammers automatically.
- Monitor financial statements: Regularly check for potentially fraudulent or unexpected transactions.
- It’s not an issue to be wrong: If you hang up or ignore someone you think is a scammer and they turn out to be real, that is totally OK. Legitimate businesses will understand that being safe is better than being sorry.
Remember, if it’s not someone you know, you shouldn’t automatically trust the one contacting you or a family member.
What to Do If You or Someone You Know Is Scammed
Staying proactive and vigilant is the best defense against scammers. However, if you or a loved one falls victim to a scam, you can take steps to address the issue and limit potential losses. Start by contacting the bank or credit card companies and alerting them of the concern. They may freeze accounts or issue new ones, limiting scammers’ access to funds. Next, report it to the Federal Trade Commission (FTC), using the website reportfraud.ftc.gov. The site features a form that allows you to report potential fraud. Additionally, consider reporting the incident to your local police department and filing a police report if recommended.
If you suspect identity theft has occurred, notify the credit bureaus by contacting them directly. Various resources are available for help if necessary. For instance, you can call the National Elder Fraud Hotline at 833–FRAUD–11. Other resources include the AARP Fraud Watch Network, as well as local senior centers and aging organizations.
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