Safeguards for Seniors

Scams

Tech and Customer Support Fraud

Scammers take advantage of victims’ unfamiliarity with technology, online banking, and newer payment methods, like cryptocurrency, to quickly take as much money as possible.

 

Government Impersonation Fraud

Similar to tech and customer support fraud but the scammer impersonates a government employee that scares victims into complying with their demands.

 

Investment Fraud

Investment fraud involves complex financial crimes often characterized as low-risk investments with guaranteed returns. They comprise of advanced fee frauds, Ponzi schemes, pyramid schemes, market manipulation fraud, real estate investing, and trust-based investing such as pig butchering. The scammers aim to gain the victim’s trust and offer an opportunity to invest in a low-risk, and unusually high-yield type of scam. Victims over 60 are pressured into accessing their retirement accounts, the equity of their home, or even convinced to go into debt to invest as much money as possible into the fraudulent scheme.

 

Lottery/Sweepstakes/Inheritance Fraud

The initial contact in a Lottery/Sweepstakes scam is often a call, an email, a social media notification, or a piece of mail offering congratulations for winning a big contest, lottery, or sweepstakes the victim did not enter. To claim their prize, the victim is required to pay upfront fees and taxes. The subjects will continue to call victims for months or even years, promising the big prize is only one more payment away. Inheritance scams function very similarly as the victim is informed an unknown, distant relative has left a large inheritance to the victim. The victim is required to pay taxes and fees to receive the inheritance money.

 

Confidence/Romance Fraud

Romance scams occur when a criminal adopts a fake online identity to gain a victim’s affection and confidence. The scammer uses the illusion of a romantic or close relationship to manipulate and/or steal from the victim. The criminals who carry out Romance scams are experts at what they do and will seem genuine, caring, and believable. The scammer’s intention is to quickly establish a relationship, endear themselves to the victim, gain trust, and eventually ask for money. Scam artists often say they are in the military, or a trades-based industry engaged in projects outside the U.S. That makes it easier to avoid meeting in person—and more plausible when they request money be sent overseas for a medical emergency or unexpected legal fee. Grandparent Scams also fall into this category, where criminals impersonate a panicked loved one, usually a grandchild, nephew, or niece of an elderly person. The loved one claims to be in trouble and needs money immediately.

 

Extortion Fraud

Extortion occurs when a criminal demands something of value from a victim by threatening physical or financial harm or the release of sensitive data. Extortion is used in various schemes reported to the IC3, including email extortion attacks, hitman schemes, government extortion, and sextortion. In 2022, over 4,200 victims over 60 reported incidences of extortion, with losses over $15.5 million. Almost half of extortion victims over 60 reported to be victims of sextortion. Most believed they were in a relationship with the victim and shared sensitive photos or information which were then later used
to sextort them.

 

Non-Payment/Non-Delivery Fraud

More elderly people are joining social media outlets to connect with others. The combination of online shopping and social media creates easy venues for scammers to post false advertisements. Many victims report ordering items from links advertised on social media and either receiving nothing at all or receiving something completely unlike the advertised item.

Safeguards

Protect Your Information

Never give out personal data if you don’t know the sender of a text or email or can’t verify their identity. Criminals only need your name, email address and telephone number to rip you off.

 

Use Multi-factor Authentication

Multi-factor authentication (MFA) means you need something in addition to a username and password to get into your accounts and greatly reduces the chance of someone gaining unauthorized access. If you have accounts that offer multi-factor authentication, you should enable it. Here is a directory of accounts that can get you started.

 

Clickbait Headlines

Sensational wording in headlines and captions is a red flag. Nothing is “shocking” or “bizarre” enough to take the risk of falling victim to a scam.

 

Links and Attachments

Don’t click on links or attachments you receive in unsolicited emails. They could be malicious and infect your device with malware and/or steal sensitive information.