The Elderly Often Fall Prey to Financial Scams

Each year elderly seniors fall prey to ruthless schemes that rob them of their money and identity. According to the Federal Bureau of Investigation (FBI), In 2021, there were over 92,000 older victims of fraud resulting in $1.7 billion in losses. The sad part is that it is often a result of a senior’s trusting nature or feelings of isolation and loneliness; or in some cases, a senior may have cognitive issues that impair their judgement and decision-making skills.  

Experts explain there are several reasons why seniors are more susceptible to fraudulent schemes starting with the fact they tend to be very trusting.  Our elderly population was typically raised to be polite and agreeable to others, which in turn can make them more susceptible to fraud. Lonely seniors can easily be preyed upon as they are willing to stay on the phone and engage in conversation with a stranger. 

NCOA updates the public to current scams targeting seniors so if you have a parent or other elderly loved ones who may be at risk, look at the information and discuss the various schemes used with them.  One scam frequently used is for a thief to call unsuspecting victims and pretend to be from the Internal Revenue Service (IRS), Social Security Administration, or Medicare. They have many angles such as saying the individual has unpaid taxes or their Social Security or Medicare benefits are in danger of being cut off.  They then demand payment (in the case of unpaid taxes) or ask for personal identifying information, which is then used to commit fraud. These impersonators often “spoof” the actual phone numbers of the government agency, or call from the same area code for Washington, DC, tricking the victim into believing the call is legitimate.

The NCOA says there are ways to avoid getting scammed such as never giving out your personal information to anyone but a trusted family member, friend or your professional financial advisor.  In addition, never make big financial decisions without consulting with one of those trusted people.  Also, do not give out personal PIN numbers, or Medicare and other financial information over the phone unless you initiated the call or know the person. 

Other commonsense advice includes being wary of high-pressure salespersons, never signing a contract until you understand it entirely, and to be suspicious of unexpected announcements of winning money, trips, or other prizes.  Experts say it is most likely a hoax.  Always take your time when making financial decisions and do not give blanket approval to a vendor for medical equipment and other purchases. 

MorningStar at Jordan’s mission statement of “to honor, to value, to invest” sets us apart from other senior living communities. We have built a foundation on honoring God, valuing our seniors and selecting staff with a felt calling to serve. Set in a warm, loving atmosphere with beautiful surroundings and resort-style amenities, we provide outstanding assisted living and memory care.

Source: ncoa.org/article/top-10-financial-scams-targeting-seniors