Protecting Seniors from Scammers New Scams

Posted by Donna Mae Scheib on June 25, 2019

Protecting Seniors from Scammers New Scams

Today, I finally disconnected my landline phone. You see, it seems that every day brought more and more phone callers persuading me to give money to various causes or to release personal information for certain reasons. I also found myself constantly running to the phone; the phone calls were calling so many interruptions. And I hate to admit it, but I recently was scammed out of some money when someone pretended to be a licensed travel agent and guaranteed me a good deal. So, I was just really tired of it.

Now, I still get some scam phone calls on my cell phone, but the number of calls has been greatly reduced. That seems to be the typical pattern: fewer scammers contact cell phones versus landline phones.

There are many internet scams as well, but I found myself being potentially scammed more frequently via a phone call. This pattern seems to follow the national norm as well. And many seniors don’t use their computers often or have access to one. That is a big reason that scammers use telephones as their number one choice.

The Federal Trade Commission estimates that approximately 6.5-7.3 percent of adults over the age of sixty-five (who live in the U.S.) are victims of financial fraud each year to the tune of billions of dollars. The numbers of adults who are scammed and the amount of money the scammers gain both seem to be on the increase annually.

Scammers Prey on Emotions

What do scammers attempt to do? Well, quite simply, they routinely try to invoke emotional arousal in those they contact. For example, when the elderly experience excitement, anger, or fear, scammers have found that these individuals are more likely to be interested in the enticing scheme. This “emotional arousal” frequently results in risky decisions rather than if the individuals are in a lower state of emotion (e.g., being depressed, bored, or tired). So, that is the type of message scammers deliver…one that most often provokes excitement, anger, or fear.

Typical Scams to Be Aware Of

• Pretending to be a government official: IRS, FBI, or a representative from Social Security Administration or Medicare

Goal: Identify theft

• Pretending to be a grandchild or other relative or someone who knows of this family member: delivers a heartfelt story of the family member who needs money or help for any number of reasons

Goal: Financial theft

• Pretending the victim did something wrong: tells them they are being arrested for such and such and to avoid this scenario, they need to pay a fee

Goal: To get access to credit cards

• Pretending to award a free prize, a contest, or a lottery winning or sweepstakes: in order to claim this, they need to send money as part of the prize release requirements, or they ask for bank account information, shipping, or processing fees as a way to get paid without providing anything in return

Goal: To get money

• Fundraisers that go to fake charities, help with disaster relief, or support medical expenses: capitalizes on an empathetic situation
• Goal: To secure funds

Research also tells us that quite often, if the victim falls for any scam, they will be targeted over and over again. And since seniors are easier prey for many reasons (e.g., are more apt to live alone, confide less often in others, may not understand what is being said on the phone, may lack the reasoning to process what is happening, etc.), this population is more desirable to be constantly targeted.

Some Important Things to Do to Help

• Tell your loved ones about the common types of scams described in this article. Inform them that officials from the government or other organizations don’t simply call about these matters; they normally communicate via a written letter addressed to individuals personally at their address.
• Place a note by their phone that reminds them to “Never Give Out Personal Information Over the Phone to Strangers.” This can serve as a back-up deterrent if you are not present to monitor the calls in person.
• With the seniors’ permission, check into setting up specific safety protocols (e.g., a secure password, joint savings and checking accounts, a power of attorney over finances, etc.) at the bank and other financial institutions to limit and readily monitor the number/amounts of the withdrawals.  
• Schedule time on a regular basis to review all of their financial accounts. Look especially at withdrawals in savings, checking, and stock accounts. If something looks suspicious, follow-up with a phone call, freeze an account, etc. You can also contact the individual financial institution for them to issue new accounts, cards, etc. and to check into the activity for you. Many of the larger institutions have their own fraud departments that provide assistance. However, it is important to do this in a timely manner, that is why a consistent and frequent review is important.
• Close unnecessary credit cards or limit the number of credit cards in use. You can also consider holding the credit cards for them and you assisting them with any routine or future purchases. This will eliminate their ability to give credit card information over the phone.
• Install caller ID on the senior’s phones and explain to them if a number looks unfamiliar when they pick up the phone, they don’t have to take the phone call.  
• Get an unlisted phone number to reduce the frequency of potential phone calls from scammers.
• Substitute the landline phone for a cell phone as research indicates there are fewer scammers who access cell services.
• Instruct your loved one to hang up if they think they are being tricked or have them merely say that they are not interested.
• Continue to stay abreast of current schemes by checking out Fraud.org. There is a place for you to file complaints on the website as well.

• Help them to sign up for the Do Not Call Registry established by the Federal Trade Commission with the goal of keeping seniors safe.

• Get the phone number unlisted so scammers are less apt to call.

• Check their credit reports at AnnualCreditReport.com to ensure that fraudulent new accounts haven't been opened in their names. This is an official site to get your free annual credit reports guaranteed by Federal law. This site is maintained by Central Source, LLC and sponsored by Equifax, Experian, and TransUnion so you have a single site where you can ask for all three of your free credit reports.

It is a fact today that phone scammers are busy trying to make a living by scamming others. The senior population is often a target. However, there are some key steps to prevent this from happening to your loved one. With the increase in this fraudulent activity each year, it is important that you stay aware of this situation and that you act accordingly to help keep your loved one safe and protected.

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