At Belmont Village Senior Living, we prioritize the safety and well-being of our residents and their families. In an increasingly digital world, it’s more important than ever to be vigilant against scams that target older adults. This guide, drawing on our experience and the insights we share with our communities, aims to empower you with the knowledge to protect your loved ones from common seniors scams and other types of financial fraud.
Why Do Financial Scammers Target Seniors?
Older adults are unfortunately common targets for fraudsters. The FBI reports that millions of older adults become victims of financial fraud annually, resulting in over $3 billion in losses each year.
But why, exactly, do fraudsters target older people?
Bad actors target seniors for several reasons, including bad actors believing that seniors have lots of financial savings, own real estate like homes, and have good credit. Criminals additionally find older adults attractive targets because seniors may be less likely to report scams. This failure to report may be due to any number of reasons, from being unaware of how to do so to feeling ashamed to fearing that relatives will think they are no longer mentally sound. Furthermore, when victims do report, they might struggle to provide detailed information to investigators, leading to criminals escaping justice.
What is Elder Fraud?
Elder fraud, a type of elder abuse, refers to financial fraud or confidence schemes that specifically target elderly individuals. It can involve criminals gaining trust through direct online, phone, or mail communication, or indirectly via TV and radio. Once successful, scammers often persist due to the prospect of significant financial gain.
What are Common Types of Scams Targeting Older Americans?
Scammers use sophisticated tactics to generate a sense of urgency or pose as trusted individuals to deceive their victims. The FBI identifies several common elder fraud schemes, including:
- Romance Scams. Fraudsters feign romantic interest in older people on social media platforms or dating websites, capitalizing on lonely older adults’ desire for companionship.
- Tech Support Scams. Criminals pretend to be tech support representatives offering to fix non-existent computer problems. Once trusted by the older adult, the scammers then gain remote access to devices and sensitive information.
- Grandparent Scams. A type of confidence scam, criminals impersonate a relative needing financial assistance, such as a grandchild needing bail money. This scam is becoming increasingly harder to detect with the emergence of AI technology, allowing scammers to convincingly impersonate relatives.
- Government Impersonation Scams. These scams often involve false claims from agencies like the unemployment office or Social Security Administration, tricking victims into sending money or personal information.
- Law Enforcement Scams. Criminals pose as government employees or law enforcement officials, threatening arrest or prosecution unless victims provide funds or other payments.
- Sweepstakes/Charity/Lottery Scams. Criminals often claim to work for legitimate charitable organizations to build trust, or inform targets that they’ve won a lottery or sweepstake but must pay a “fee” to collect their winnings.
- Home Repair Scams. Bad actors pretend to be repair men that require upfront payments. They charge people without ever intending to deliver promised services.
- TV/Radio Scams. Fraudsters use illegitimate advertisements for seemingly legitimate services, such as warranty extensions, reverse mortgages, or credit repair, to target potential victims.
- Family/Caregiver Scams. Relatives or acquaintances of elderly victims take advantage of them or otherwise access their money.
- COVID-19 Specific Scams. During the pandemic, scammers capitalized on fear by making unsolicited calls about government checks, offering fake vaccines or test kits, and sending phishing emails posing as members of the CDC or WHO.
- Trusted Institution Scams. These scams involve criminals posing as members of trusted organizations, such as banks, nonprofits, or rental companies. They might claim to be correcting a clerical mistake and request verification of personal information to gain access to a victim’s data. A bad actor might even claim to be an employee from a senior living community, attempting to collect rent or sensitive information over the phone. Be aware that most senior living communities, including Belmont Village, will never ask for rent or sensitive information via phone calls.
What are Common Warning Signs of Scams Targeting Seniors?
It’s crucial to recognize the signs that an older adult might be the victim of a scam:
- Requests for sensitive financial information or payments over the phone or email. Government agencies rarely request sensitive information, like Social Security numbers or credit card information, via phone calls.
- Unsolicited phone calls, unknown numbers, and suspicious mailings, sent with unusually high frequency.
- Demands for specific payment methods such as money, jewelry, gift card codes, checks, or wire transfers to unverified people or businesses. Belmont Village, for example, will never call you to request payment over the phone or via banking apps like Venmo, Zelle, Cash App, or PayPal. Someone claiming to be an official representative but asking for these payments should not be trusted.
- Requests to act quickly or immediately. Scammers use pressure, creating a sense of urgency, to prevent victims from thinking clearly or consulting others. The goal is to get victims to act as quickly as possible.
- Emails with spelling/grammatical mistakes, generic greetings, or insistence on immediate action are often phishing scams designed to get you to click links or provide personal data.
- If a loved one talks about a new significant other they’ve never met in person and is being asked for money or gifts, it could be a romance scam.
Ways to Protect Older Adults from Scammers
Protecting your loved ones requires proactive steps, vigilance, and continuous education. Specific preventative measures your family can take include:
- Verify Callers and Requests. If you receive a call from someone claiming to be from an organization, contact that organization directly to verify the request. Don’t use the contact information provided by the caller; instead, verify it independently.
- Never Share Sensitive Information. Do NOT give your personal financial information (like bank account information) via phone or email. Legitimate government agencies and institutions rarely ask for such details in this manner.
- Resist Pressure to Act Quickly. Scammers overwhelm victims by creating a sense of urgency. Resist the urge to act quickly. Take time to think, consult with family, or verify the information.
- Beware of Payment Methods. Never send cash, wire transfers, gift cards, or other unusual forms of payment to people or businesses you have not personally verified. Belmont Village, for example, will never request payments over the phone or via commonly used banking apps, such as Venmo, Zelle, CashApp, or PayPal.
- Always Talk with Family First. Discuss major financial decisions, including donations, with family members.
- Do Not Answer Unknown Calls. Simply let unknown numbers go to voicemail. Let the phone ring; immediately hanging up lets scammers know that the number is active, opening your family to more spam calls.
- Monitor Accounts and Protect Identity. Be vigilant in monitoring your accounts and personal information for suspicious activity. If you suspect that your devices or finances are compromised, immediately contact your bank or credit card company. They can help you put protections on your accounts.
- Watch for Email and Online Scams. Be cautious of emails claiming to be from official bodies like the CDC or WHO; always use official websites (e.g., .gov) for accurate information.
- Enable Pop-up Blockers. Pop-up blockers help you avoid accidentally clicking on malicious links. If a pop-up appears or your screen locks, disconnect it from the internet and shut it down right away. Doing so helps disrupt any downloads in progress.
- Hang Up on Robocalls. If you receive an automated message or recording, hang up immediately.
- Create a Family Password. The FBI recommends creating a phrase that only family members know to verify identities.
- Search Online. Turn to Google to see if other people have posted information about individuals and businesses trying to run scams online.
- Call the Police. Call the police immediately if you feel there is a danger to yourself or someone you love.
- Attend Educational Events. To further assist residents and team members, Belmont Village offers educational events, such as a recent presentation by the Fort Lauderdale Police Department on common scams and how to avoid them.
Senior Scam FAQs
What are the biggest scams for seniors?
According to the FBI, some of the most prevalent senior scams include romance scams, tech support scams, grandparent scams, government impersonation scams, sweepstakes/charity/lottery scams, home repair scams, TV/radio scams, and family/caregiver scams.
What Medicare scams are going around?
Common Medicare scams include:
- Fraudsters pretending to be a Medicare representative over the phone in an attempt to get sensitive information.
- Seniors receiving letters informing them that their benefits are cancelled, unless they call the scammer with sensitive information to set their account back up.
- False billing, such as getting notices of payments for high cholesterol medications when the person does not have high cholesterol.
What is Project S.A.F.E. (Stop Adult Financial Exploitation)?
Project S.A.F.E. is a Maryland coalition fighting senior financial abuse and exploitation.
How can I report a suspected senior scam?
Have you or someone you loved been a victim of elder fraud? The FBI advises filing a complaint at their Internet Crime Complaint Center (IC3) at ic3.gov.
When reporting, it’s important to include as many details as possible, such as:
- Names of the scammer and/or company they pretended to be.
- Dates of contact and communication methods (phone, email, etc.).
- Identifiers the perpetrator used, such as phone numbers or email addresses.
- Which payment methods they requested and where they requested the money be sent.
- Detailed descriptions of your interactions with the scammer.
- Whenever possible, retain the original documentation, including emails and logs of communications.
Final Thoughts
Protecting your family from senior scams is an ongoing effort that requires vigilance and education. By understanding common scam tactics, you and your loved one can be less likely falling victim to financial fraud.
At Belmont Village, we not only design our communities with high standards of safety and hospitality, but we also take extra steps to help protect and educate our residents and their families. We believe in fostering an environment of trust and security, empowering everyone to live fulfilling, rewarding days free from worry about financial exploitation.
Disclaimer: This article is for informational purposes only.