Six Common Scams That Target Senior Citizens and How to Prevent Them

Scams victimizing senior citizens have become so prevalent that it’s a regular topic on the highly rated Dr. Phil show. Even the National Council on Aging (NCOA) says, financial scams targeting seniors have become so prevalent that they are now considered ‘the crime of the 21st century’.” Any senior citizen can be at risk because scammers target all income levels. There are six common scams that you should be aware of so you can protect yourself and your loved ones.

1. ROMANCE SCAMS

Websites that solicit dates are often used to initiate romance scams. The con starts when the scammers start asking for a few dollars for simple things. Once a relationship is established the dollar amount being asked for escalates.

RED FLAGS:

• English used in the emails will be broken and not clearly written by a native English speaker.

• The money request will be to visit the victim after the scammer professes their love for them.

• The money is being sent overseas especially to Nigeria.

• The scammer will state they have been in a series of over-the-top circumstances which is why they need the money.

HOW TO AVOID THE SCAM:

• It is now possible to reverse Google search photos to find out if they pop up on any scam sites.

• Have your loved ask the person they are communicating with to send a photo with a current dated Newspaper.

• You can also Google search the person’s name you or your loved one is communicating with to see if it brings up any scam pages. Scammers tend to use common names over and over again.

2. HOME REPAIR SCAMS

According to an American Bar Association newsletter article, “home improvement scams are quite frequently targeted at seniors.” Typically these door-to-door scams happen when a “handyman” stops by and offers to do work on a senior citizen’s house at a discounted rate because they are doing other work in the neighborhood.

RED FLAGS:

• The repairs suggested usually include items that the victim would not be able to access on their own such as the roof or gutters.

• Sometimes the scammers do no work or very poor work.

• If the victim agrees to have the work done the scammer will suggest multiple repairs are needed in different areas of the house.

• If the “handyman” asks to come in the house to do an inspection or perform work it could lead to the victim being robbed.

• The items that the scammers suggest need to be fixed usually need no repairs at all.

HOW TO AVOID THE SCAM:

• You can do routine property checks for your loved one and make a list if any repairs need to be done.

• You can provide your loved one with a list of reputable contractors in the area so they have it if a repair needs to be made.

• Make sure your loved one knows to never let strangers who show up uninvited into their home or yard.

3. GRANDPARENT SCAMS

According to the National Council on Aging and CBS News, senior citizens may sometimes get a call from scammers pretending to be their grandchildren and will ask for money.

RED FLAGS:

• The scammer will call and say something along the lines of “Hi Grandma, do you know who this is?” Since the unsuspecting victim hears their name, they will reply with the grandchild’s name and the scammer will reassure them they guessed correctly.

• The scammer will have given an over-the-top sob story about how they are in great financial need and their parents will not help them out.

• The scammer will suggest a way to transfer the money that does not require identification.

• The scammer will tell the victim to keep the transaction secret from the real grandchild’s parents.

HOW TO AVOID THE SCAM:

• Have any grandchildren in the family use a standard greeting for their grandparents so if someone uses a different one they know it’s not the real ones.

4. IRS SCAMS

For years there have been numerous different scammers claiming to be with the IRS. Their purpose is to gain personal and financial information in order to steal from their victims.

RED FLAGS:

• IRS typically only contacts taxpayers by U.S. Mail

• The scammer will ask the victim to verify personal information over the phone.

• The scammer will instruct the victim to file a paper return for the tax year.

• The IRS will not contact taxpayers by email either.

HOW TO AVOID THE SCAM:

• Seniors need to be informed that you should never give anyone claiming to be an IRS agent information by phone or electronically.

• If you or your loved one receives a phone call or email, the IRS can be contacted directly at 1-800-829-1040 or a reputable tax advisor can help to determine if a scam is occurring.

5. HEALTH CARE/HEALTH INSURANCE FRAUD

Health Care or Health Insurance scams can take on many different forms.

RED FLAGS:

• Suspicious medical tests given in places where large numbers of seniors live or gather for social purposes that are billed to health insurance.

• Medical equipment companies that offer to provide no-cost products that the seniors may not need and they are usually not delivered but still are billed to the senior’s insurance.

HOW TO AVOID THE SCAM:

• The FBI advises seniors to avoid giving health insurance information to any person or company that has not provided them with medical services.

• It is also important to avoid signing insurance claim forms that are not filled out or blanket billing authorizations.

• Rely on you or your loved one’s physician to order medical equipment.

6. TELEMARKETING SCAMS

According to the AARP, when it comes to telemarketing scams, “people over 50 years of age are especially vulnerable and account for more than half of all victims.” The AARP’s Fraud Fighter Call Center was set up to combat this particular problem because scammers are able to buy lists of senior phone numbers that they can be used to target victims. The Federal Trade Commission has shut down numerous telemarketing scams, including one in 2014 that “drew in $20 million dollars between May 2011 and December 2013” simply by tricking seniors into giving their bank account information over the phone.

RED FLAGS:

• Scammers know senior citizens answer their phone and are reluctant to hang up on anyone.

• Scammers may say the senior has won a prize but they need their bank account number to pay for taxes or shipping fees.

HOW TO AVOID THE SCAM:

• File a complaint with the FTC Complaint Assistant if you think there is a scam occurring.

• Make sure seniors know that they should never give bank account numbers, social security numbers, credit or debit card numbers or any other personal information to anyone who calls them in response to junk mail.

• National Crime Prevention Council PDF called “Seniors and Telemarketing Fraud 101” is a handy guide to use to educate seniors.

PROTECTING VULNERABLE SENIORS

It can be hard for family members to protect senior and elderly relatives from scams because unless a senior is diagnosed and incapable of making their own decisions, a person has rights. Unfortunately these rights include the ability to make a bad decision. Just because a family member knows a senior is susceptible to a scam does not mean there is a lot that can be done in terms of preventative measures. Law Enforcement will only become involved when the person being victimized is willing to admit they are a victim. It can be hard for a senior to profess they are a victim because of the embarrassment and shame they might feel. Plus sometimes the scammer has the victim so convinced they will get their money back so the victim will keep sending money for the hope of the return (like what occurs with a gambling addict). Monitoring a senior’s activity and educating them are the best options to help protect them from scams. There will always be new scams out there but preventative conversations are the best way to educate a senior before they are exposed to the possibility of a scam.