he elderly are more vulnerable to a lot of things, and it’s not just health risks. Seniors are also the primary targets for con artists and fraudsters. According to the Federal Bureau of Investigation (FBI), elderly Americans fall victim to various scams yearly, with losses reaching up to $3 billion.
The key is to spot the various telltale signs of a scam as early as possible. However, that is often easier said than done, as today’s scammers now use more sophisticated tools and techniques to commit fraud. Nevertheless, vigilance remains the watchword. And to that end, let’s show you some of the most popular scams that have been used to target the elderly in recent times.
1. Government Impersonation Scams
Callers claiming to be agents from the Internal Revenue Service (IRS) or representatives from the Social Security Administration may threaten the elderly by feeding them false information. For example, the fraudster pretending to be an IRS agent may say that the victim has unpaid taxes. Then, the scammer will further threaten the victim by saying that non-payment of taxes will result in jail time or deportation.
Now that the victim is scared, the scammer will now offer a solution by asking the victim to send the payment to him via gift card or money transfers. Unsuspecting seniors will surely fall into this scheme. However, it’s best not to take any further action until the claim has been verified with the IRS.
2. Health Insurance Scams
Scammers who want to steal the Medicare payments of seniors will pretend to be Medicare representatives. The perpetrators will tell the victim that their Medicare payments are suspended, but it can be fixed if they can provide personal information. Now that the scammers have the victim’s identity, they can use it to commit identity theft.
3. Lottery Scam
If you won a lottery, then how come you don’t have the winning ticket? That’s the lottery scam. Scammers send professionally written emails or letters to their victims saying that they won the lottery. However, the scam starts when the perpetrator will ask the victim to send money to settle “fees” or “taxes.” Seniors who need money will surely fall on this scam.
The scammers are extremely persuasive. In some cases, the scammers will send a fake check after the victim pays the fees. Unfortunately, by the time the victim realizes that the check is fake, the money he paid for the said fees is now gone.
4. Phone or Telemarketing Scams
Callers pretending to be from insurance companies or a family member caught in an accident are common phone scams. The fraudsters will often ask for personal information (to use for identity theft) or ask the victim to send money via wire transfer or gift cards.
5. Internet Fraud
The elderly today spent their younger days in an era without the internet. Hence they’re not exactly digital natives. That’s why the elderly are easy targets for phishing scams that steal bank and personal information like social security numbers and answers to security questions.
6. Charity Scams
Most seniors nowadays have a soft heart when it comes to charity work. Unfortunately, scammers will pretend to be members of a famous charity organization and ask the victim to donate money. By far, charity scams are hard to spot at first glance since they use the goodwill of charity organizations to fool other people. Only skepticism can decode this fraudulent act.
What to Do If You, or Your Loved Ones, Fall Victim
If you think you’ve fallen into one of the traps of these scammers, it’s best to tell your adult children and ask for their help. You can also report this incident to the authorities by calling Eldercare Locator at 1-800-677-1116. Then ask your adult children to file a report at the Federal Trade Commission.
In any case, prevention remains the best approach. If something seems too good to be true, whether on the internet or from someone calling your line, chances are it’s not true. Be vigilant and never be in a hurry to share personal information with anyone. When signing up for a program or event, older adults can ask their children or loved ones to confirm if it is legit before parting with cash or disclosing any information.
Equip yourself with financial knowledge, read about the tax laws you must know.
