It seems as though there is a new scam being reported every day to try to cheat or steal from unsuspecting people regardless of age.
In 2023, it was reported that people over age 60 lost more than 3.4 billion dollars to fraud worldwide! According to the National Council on Aging, the top five most popular scams that specifically target seniors include:
Grandparent scam: The grandparent scam plays on people’s emotions. During the call, the scammer impersonates the person’s grandchild and starts to build their trust. Pretty soon, they are asking for money to fix a car, pay for a doctor, or get them out of legal trouble. They prey on the victims to get them to send money as quickly as possible to get them out of trouble. Scammers who conduct grandparent scams will ask for you to send them money by gift cards or
wire transfers.
Financial services scam: Under the financial services scam, the con artist will pretend to be calling from a legitimate source, such as your bank, mortgage company, or a debt collection agency on behalf of a doctor or credit card company. Besides calling, they often text or email you with legitimate messages in hopes you will respond. The messages in these scams can range from missing a payment to convincing you that you can get a better rate if you change your account. Over the course of the call or email, they will convince you to disclose your account numbers and/or your social security number.
Tech support scam: Who isn’t a little nervous about new technology? With the speed at which technology changes daily, it’s no wonder that the tech support scam was the top scam affecting older Americans in 2022 and 2023. With a tech support scam, con artists will pretend to be affiliated with well-known companies such as The Geek Squad, Apple, or Microsoft. They will claim that your electronic device has been infected with a virus and that they need remote access to fix your computer. The scam will either allow them remote access to your computer to steal the information on it, or they will ask for credit card information or bank information to bill for their services. Another form of the tech scam is when a pop-up ad comes up on your computer stating that your device is infected. It will either have a link to “correct” your issue, which will upload spyware or malware to your computer, or a phone number to call tech support. In 2023, older Americans lost nearly 590 million dollars to tech scams.
Government impersonation scam: In this type of scam, imposters claim to be calling from the Internal Revenue Service or the Social Security Administration. They threaten the person who answers the call with arrest if they do not pay their unpaid taxes or cut off benefits if personal information is not provided.
Romance scams: The romance, or sweetheart scam, like the grandparent scam, plays upon people’s emotions. Scammers will create fake social media profiles in order to gain your trust to steal your money. They may ask you to send them money for travel visas and medical or travel expenses to visit the victims. Romance scams are not one-and-done. They can drag out for a very long time, resulting in the loss of a lot of money and emotional heartache to the victim. According to the Federal Trade Commission, more than 64,000 people lost more than 1.1 billion dollars in 2023 to a romance scam.
Besides the top five scams listed above, other popular scams in existence that specifically target seniors include sweepstakes and lottery scams, robocall and phone scams, business imposter scams, investment scams, Medicare and health insurance scams.
Sweepstakes and lottery scams: The sweepstakes scam has been around for a while. The scammer will call you with the good news that you have won a large cash prize. The catch? You need to pay them to cover the taxes and processing fees before you can claim the rest of your prize.
Robocalls and phone scams: We’ve been warning about this one for a while. The caller will ask if you can hear them. When you answer “yes,” they record your answer and then hang up. They now have your authorized unwanted charges using your voice signature.
Business imposter scams: Another popular phone scam is when these imposters pretend to call from a local business or charity to convince you to send money, gift cards, or share personal information. They love to make their calls sound like you know them personally. Often, the phony charity is to donate to the local police or police benevolence association.
Investment scams: These scams offer low-risk or guaranteed returns on investments in stocks, bonds, and, more recently, cryptocurrency. In 2023, fraud from cryptocurrency scams cost those over the age of 60 over 716 million dollars.
Medicare and health insurance scams: In a Medicare scam, con artists attempt to convince seniors to share their personal information. Some scammers have even set up pop-up screening centers and mobile clinics. They will then bill Medicare for services. In recent years, Medicare fraud has occurred in medical research and genetic testing centers.
What Should You Do If You Become a Victim of a Senior Scam?
- If you are a resident of John Knox Village, report it to John Knox Village Administration. Administration can assist in navigating and reporting your claim.
- Contact the local police to file a police report.
- Report scams to the Federal Trade Commission (FTC) online at https://reportfraud.ftc.gov/?orgcode=NCOA
For more information on scams, visit https://www.aging.senate.gov/imo/media/doc/2024_fraud_book_english.pdf.