- Become informed about common financial scams targeting the elderly to protect yourself and your loved ones.
- Medicare/insurance fraud, investment scams, grandparent scams, and sweepstakes/lottery scams are some of the more common schemes.
- Educate elderly family members on the risks of financial scams, create a plan of action, and be aware of their surroundings.
- Take the responsibility to protect your elderly loved ones seriously by educating them with these tips.
It’s heartbreaking to think that some people will prey on others who are vulnerable and trusting, especially the elderly. Unfortunately, that is the reality of the world we live in today. Scammers use tactics to access the elderly’s personal information, assets, and money without their knowledge.
Becoming informed about common scams is essential to protect yourself or your elderly loved ones. In this blog, you will learn about financial scams that target the elderly to help you stay prepared and safeguard against these types of scams.
Medicare/Health Insurance Fraud.
Scammers will convince the elderly that they can provide free health care and medical services by pretending to be Medicare representatives. They will ask for a Social Security number, bank account, and insurance information. Once they access these details, they can steal and sell the victim’s personal information. Always verify the legitimacy of callers and never provide personal information over the phone.
Investment Scams.
Investment scams are prevalent, and the elderly often fall for them. Scammers will offer investments with high returns and urge them to “act fast” to take part in the opportunity. The elderly think their savings can grow exponentially, but it’s a trap.
Fraudulent investment brokers will take the money and run. Encourage elderly family members to seek help from trusted financial advisors and research any investment opportunity before deciding.
Grandparent Scams.
These scams are a new fraud tactic, and they’re gaining popularity. Scammers place a call pretending to be the grandchild or a law enforcement agent, and they need money for bail or legal fees.
Many grandparents fall victim to this scam and send money immediately without validating the call’s legitimacy. If you get a similar call, don’t immediately send money. Contact other family members first and gather all the details to verify before transferring any money.
Sweepstakes and Lottery Scams.
Elderly people love the excitement of winning sweepstakes and lotteries, making them easy targets for scammers. Scammers will contact them through email, phone, or text message and mention that they won the lottery or a sweepstake prize.
They must pay an upfront fee or provide personal information to claim the prize. These frauds can access and use the victim’s identity for banking, insurance, and other fraudulent transactions.
Financial Abuse Through Power of Attorney.
Power of attorney is a legal document that allows an individual to grant another person the power to act on their behalf for their financial affairs. Unfortunately, scammers will use this opportunity to access the elderly’s assets and take away their money without them knowing.
The best way to protect your loved ones from financial abuse through power of attorney is to employ the help of an elder financial abuse attorney. They can help with the legal paperwork to protect your loved ones from abuse. They can also provide legal advice on protecting the elderly from scammers.
Educating the Elderly.
Now that you know about the most common financial scams that target the elderly, it’s essential to educate your elderly family members on these topics. Here are the four steps you need to take to succeed in this:
Make sure they understand the risks of financial scams.
Making sure they understand the risks of financial scams is the most essential step. Explain how scammers use tactics and deception to take advantage of them.
Create a plan of action.
Now that they understand the risks, create an action plan if something happens. Create a list of people or organizations they can call for help if they ever feel something isn’t right.
Be aware of their surroundings.
Encourage the elderly to pay attention to their surroundings and always be aware of who they are talking to. Some scammers can even show up at your doorstep, so ensure they know not to disclose any information without verifying the person’s identity first.
Stay informed about new scams.
Inform yourself and your elderly loved ones about the latest financial scams. This way, you can stay one step ahead of scammers and protect your loved ones.
By educating the elderly about financial scams, you can empower them to protect themselves from these fraudulent activities.
Protecting your elderly loved ones from financial scams is an important responsibility. You can ensure their safety and security by educating them about the common types of scams, creating a plan of action for when something doesn’t feel right, and staying informed on the latest fraudulent activities.
