Recognizing and Avoiding Financial Scams Targeting Older Adults

Financial scams continue to affect an increased number of Americans each year. According to the FBI Internet Crime Complaint Center’s (IC3) Internet Crime Report, more than $12.5 billion was lost to fraud in 2023, up from $10.3 billion in 2022. The FBI also reported a total loss of more than $3.4 billion to those over the age of 60, the largest of any group.

Common scams targeting older adults

Scammers often target older adults, expecting them to have more money saved up. It can be difficult to know what is legitimate and what isn’t. By learning about common scams and warning signs, you can better protect yourself and your assets.

Tech support scams

Tech support scammers may try to trick you with a pop-up window that appears on your computer screen. The message warns you about a problem, like a virus or security breach, and creates a sense of urgency to fix it. Never click links or call phone numbers in a pop-up window. Legitimate tech support will never pressure you or unexpectedly ask for remote access to your computer.

FBI IC3 Elder Fraud Report 2023: “17,696 complaints from individuals over the age of 60, with losses over $589.7 million”

Investment scams

Investment scams typically promise high, guaranteed returns with little to no risks. A real investment opportunity won’t guarantee returns and will come with some sort of risk involved. If it sounds too good to be true, it probably is. Before making an investment, consider researching the information provided to you and talking about it with family and friends.

FBI IC3 Elder Fraud Report 2023: “6,443 complaints from individuals over the age of 60, with losses over $1.2 billion”

Romance scams

Romance scams can form when you meet someone online and they pretend to be interested in pursuing a romantic relationship with you to gain your affection and trust. Eventually, they will ask you for money that they promise to pay back, and then they disappear. Never give money to someone you have only communicated with online or by phone. You can also search the person’s name and profile picture online to see if it has been used somewhere else.

FBI IC3 Elder Fraud Report 2023: “6,740 complaints from individuals over the age of 60, with losses over $356.8 million”

Government impersonation scams

A scammer might call you claiming to be from an official government agency and request money or personal information. They might say that something bad will happen if you don’t pay or give them information. Real government agencies won’t threaten you or demand immediate payment. If you are unsure, hang up. Then, look up a valid phone number for the agency through an official government website and call that number to verify the request.

FBI IC3 Elder Fraud Report 2023: “3,517 complaints from individuals over the age of 60, with losses over $179.6 million”

Grandparent scams

A scammer may contact you pretending to be a member of your family, asking for money due to an emergency. Always try to verify the request in person or through video chat before sending money. Consider creating a code word to use with your family members to confirm their identities.

FBI IC3 Elder Fraud Report 2023: “200+ complaints from individuals over the age of 60, with losses over $2.3 million”

Summary of warning signs

Watch for these warning signs:

  • You are asked to pay in a specific way, such as gift cards, wire transfers, cryptocurrency, or mailing cash.
  • You are pressured to act fast or threatened.
  • The opportunity sounds too good to be true and guarantees a return or reward.
  • You are asked for personal information over the phone, such as passwords or Social Security number.
  • You are told not to tell anyone about what you are asked to do.
  • An email or text message has grammar mistakes or looks unprofessional.

What to do if you think you're communicating with a scammer

If you think you’re being scammed, stop all communication immediately. Don’t click links in texts or emails and hang up on suspicious calls. Protect your accounts by changing passwords, especially if you think the scammer accessed them. Monitor your accounts closely for unusual activity. It is important to act quickly to protect yourself from further harm.

Who to contact if you've been scammed

If you gave the scammer money or revealed your account information (username, password, debit card PIN, or one-time security codes), contact your bank immediately to report the scam. Save any evidence like emails, texts, and screenshots to report it to the FTC at ReportFraud.ftc.gov or the FBI at ic3.gov.

What you can do to protect yourself

The following tips can help you reduce your risk of falling victim to a scammer.

Stay informed: Scammers continue to evolve the scams and tactics they use. Make it a habit to stay updated on trending scams by visiting consumer.ftc.gov/scams regularly.

Verify contacts: Consider creating a trusted contact list with phone numbers and email addresses for your bank, family, close friends, and stores you regularly visit, ¬for easy reference.

Do your research: If someone contacts you claiming to work for a certain company or government entity, research them online to verify their legitimacy.

Use strong passwords: Create longer passwords and use a string of random yet simple words. Avoid using the same password for multiple accounts.

Code word: Develop a secret code word to use with your family. This can help you confirm they are who they say.

Software updates: Make sure you are using the latest versions of software on your cell phone and computer. If you are unsure about the version you are using, ask a family member or friend to help you check for updates.

We're here for you

We are committed to your well-being and are here to help. If you find yourself in a stressful situation and need support, contact us at 316-383-1234 or 800-895-2265, or stop by one of our banking centers.

Visit our Security Center for more information on fraud and best practices for protecting yourself.

Sources

FBI IC3 2023 report: https://www.ic3.gov/AnnualReport/Reports/2023_IC3Report.pdf

FBI IC3 Elder Fraud 2023 report: https://www.ic3.gov/AnnualReport/Reports/2023_IC3ElderFraudReport.pdf

Posted:

09/24/2024

Category:

Security and Fraud Prevention

Tags:

CYBERSECURITY, FRAUD, SECURITY

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