Stay One Step Ahead: Tips for Senior Fraud Prevention

You hear about it all the time. Scam artists targeting older adults and their retirement nest egg. When it comes to protecting everything you’ve spent a lifetime building, knowledge truly is power. According to data from the FBI, losses from those 60 and older were over $3.4 billion in 2023 — an increase of approximately 11% from 2022 — with an average loss of $33,915.

Scammers target older adults because many have significant financial savings, own a home, have good credit, and are generally trusting and generous. However, avoiding scams for seniors is easier when you know what to look out for, so that you can help protect yourself and others from falling victim to scams.

Senior Fraud Awareness

Scam artists deploy a wide range of strategies to deceive seniors. From posing as a grandchild or family member to representing a charity, their strategies are designed to entice their victims into giving out sensitive information or outright cash. Here are a few of the most common scams designed to target older adults:

Government impersonation scams

Scammers will identify themselves as government representatives calling from the Internal Revenue Service (IRS), Social Security Administration, or Medicare. Often, they will tell their victims they have unpaid taxes or dues and threaten them with arrest if they don’t provide sensitive information such as a Social Security number.

Grandparent scams

In this situation, a scammer will call an older adult and pose as their grandchild. During the call, the “grandchild” will ask for money to cover an unexpected cost such as a medical bill, rent, or funds to visit home.

Sweepstakes/lottery scams

One of the most common scams directed toward older adults is the sweepstakes scam. Seniors will receive a check they can deposit, claiming that they’ve won a lottery or sweepstakes. Once the check has been cashed, they’ll be notified that they owe money to unlock the winnings. Once they send their money in, the check will bounce, and the prize money will be removed from their account.

Romance scams

Everyone has turned to the internet to find companionship including older adults. Oftentimes scammers will create fraudulent online profiles on dating sites and social media, tricking their victims into thinking they are someone they are not. These scammers will usually pose as individuals living internationally and ask their victims for money to go toward medical emergencies, visas, and airline tickets. Because these scams can be lengthy, they are often the most lucrative. According to the Federal Trade Commission, seniors lost nearly $240 million to romance scams in 2022.

Fraud Protection Tips

Here are a few ways to help you with avoiding scams for seniors to protect yourself and your family from fraud:

• Recognize scam attempts and end all communication with the perpetrator.
• Create a shared verbal family password or phrase that only you and your loved ones know.
• Search online for the contact information (name, email, phone number, addresses) and the proposed offer. Other people have likely posted information online about individuals and businesses trying to run scams.
• Resist the pressure to act quickly. Scammers create a sense of urgency to create fear and lure victims into immediate action.
• Call the police immediately if you feel there is a danger to yourself or a loved one.
• Be cautious of unsolicited phone calls, mailings, and door-to-door service offers.
• Never give or send any personally identifiable information, money, gold or other precious metals, jewelry, gift cards, checks, or wire information to unverified people or businesses.
• Make sure all computer anti-virus and security software and malware protections are up to date. Use reputable anti-virus software and firewalls.
• Disconnect from the internet and shut down your device if you see a pop-up message or locked screen. Pop-ups are regularly used by perpetrators to spread malicious software. Enable pop-up blockers to avoid accidentally clicking on a pop-up.
• Be careful what you download. Never open an email attachment from someone you don’t know, and be wary of email attachments forwarded to you.
• Take precautions to protect your identity if a criminal gains access to your device or account. Immediately contact your financial institutions to place protections on your accounts, and monitor your accounts and personal information for suspicious activity.
• Never, ever share financial information. What most scams have in common is the request for personal information, such as a Social Security number, often combined with a threat of action if payment is not made right away. That’s why it’s important to never share any details over the phone that may be used to gain your financial information, such as your bank account, credit card number, or any passwords.

Helpful Resources

It’s important to know who to call if you are worried that con artists or scammers are targeting your family members. Here’s a list of trusted agency contacts that can assist you:

• Local police
• Local bank (that holds your bank account)
• Adult Protective Services in your area
• AARP Elderwatch
• Official IRS website
• Internet Crime Complaint Center
• Federal Trade Commission

Enjoy More Freedom and Security

At Santa Marta, our services and amenities give you more freedom while our community provides 24/7 security. But, more importantly, everyone in our close-knit community — from residents to staff — looks out for one another. To learn more, contact one of our helpful senior living counselors.