As technology advances, so do the tactics of scammers looking to exploit unsuspecting victims, especially older adults. According to the FBI Internet Crime Complaint Center (IC3), more than 88,000 individuals aged 60 and older reported falling victim to internet scams in 2022. This marks a staggering 84% increase from 2021, with total financial losses exceeding three billion dollars, the highest of any age group.
With financial scams targeting seniors on the rise, it is crucial to educate yourself and your loved ones about common schemes and how to prevent them. Scammers often prey on older adults due to perceived vulnerabilities, such as limited technological knowledge or social isolation. However, by staying informed, you can safeguard yourself and those around you. Below are some of the most common scams affecting seniors and how to protect against them.
1. Sweepstakes & Lottery Scams
One of the most frequent financial scams targeting seniors involves fraudulent sweepstakes and lottery winnings. Scammers contact older adults via phone, email, or even social media, claiming they have won a significant prize. However, there is a catch—the scammer insists that to receive the winnings, the individual must first pay taxes, shipping fees, or processing costs, often via wire transfer, gift cards, or prepaid debit cards.
How to Protect Yourself:
- Be cautious of any call or email claiming you have won a prize you never entered.
- Never send money upfront to claim winnings, this is a major red flag.
- Verify the legitimacy of the sweepstakes by checking official websites or consulting with a trusted friend or family member.
- If in doubt, hang up and report the call to the Federal Trade Commission (FTC) or local authorities.
2. Robocall & Phone Scams
Scammers have become increasingly sophisticated, using technology to disguise their phone numbers and make it appear as if they are calling from a trusted source. Common robocall scams include:
- Fake debt collection calls claiming your car payment or other bills are overdue, demanding immediate payment.
- Calls impersonating law enforcement, threatening arrest unless you pay a fine.
- Fake IRS or Social Security Administration calls claiming there is an issue with your benefits.
How to Protect Yourself:
- Avoid answering calls from unknown numbers. If it is important, they will leave a voicemail.
- Never provide personal or financial information over the phone unless you have initiated the call.
- If a caller pressures you to make an immediate payment, hang up and contact the organization directly using a verified phone number.
- Register your number on the National Do Not Call Registry to reduce robocalls.
3. Impersonation Scams
Scammers often pose as representatives from banks, utility companies, or government agencies. These scams rely on fear and urgency, tricking individuals into giving up sensitive information. The scammer may claim your bank account has been compromised or threaten with legal action if you do not comply with their requests.
Another alarming variation of this scam is the “grandparent” scam, where fraudsters pretend to be a grandchild or family member in distress. They may claim they have been arrested, in an accident, or even kidnapped, urgently asking for money while begging the victim not to tell anyone.
How to Protect Yourself:
- If you receive an unexpected call from a company or agency, do not provide any personal details. Hang up and call the organization directly using an official phone number.
- In a “grandparent” scam, ask the caller questions only your real grandchild would know the answer to.
- Never send money or gift cards based on a phone call, legitimate organizations will not request these forms of payment.
- If you suspect a scam, report it to the authorities immediately.
Scams can and do happen to anyone. They are designed to make us fall for them and can be incredibly sophisticated. Educating yourself and staying cautious are the best ways to protect yourself from scammers. Reputable organizations will never request gift cards as a method of payment, and you should never provide personal or financial phone via text or email.
Resources such as AARP, the National Council on Aging, and Ohio Department of Aging all provide great information and tools for protecting yourself against scams. If you feel you may have been the target of a scam, immediately report it to the Ohio Attorney General’s Office.
