What to Worry About and Solutions
About 5 percent of elders (around two to three million people) suffer from some sort of scam- SPAM, Phishing - every year according to the American Journal of Public Health.Phishing is sending emails, purporting to be from reputable companies, in order to get individuals to reveal personal information, such as passwords and credit card numbers.
SPAM is an electronic message where the message can be equally applicable to a great number of recipients where permission to receive has not been granted.
Scamming elders is a multi-billion dollar industry for people around the globe that drains elders of savings, retirement funds and, sometimes, government benefits.
A Federal Trade Commission report states that the median amount that someone over 80 who was scammed lost was over $1,000 and the median amount someone between 70 and 79 lost was over $600. The Department of Justice estimates that elders lose out on about $3 billion to scammers every year.
So why do so many elders fall victim to scams?
Some researchers believe it is because elders are largely trustworthy and made up of financially fruitful people whose cognition may have decreased due to varying ailments.
Are elders targeted by scammers? Very much so - for a variety of reasons.
Many elders live alone. As a result, there isn’t anyone to check on their finances. It may be too late to do anything if a loved one finds out about it years later.
Isolated elders also may be more vulnerable to a scammer who uses a “relationship” to start their scheme. Scammers do their research and the victims of schemes have often been specifically targeted.
On one side, an elder could have millions of dollars at hand after saving for retirement. This may make the person a little less strict with their money, which in turn makes an email or message from a “grandson” asking for a loan an easy request.
For instance, scammers have been shown to call someone in their 80’s, pretending to be their grandchild. Elders may remember they have a grandchild, but they may not remember their actual names or what they sound like, so they’ll go along with whatever the scammer is saying.
On the other hand, a senior could be financially insecure and a get-rich-quick scheme/source of income may appear attractive. Scammers will attack these weaknesses.
The FBI says that people who grew up in the 1920s,‘30s, and‘40s are generally more trusting than other generations, which makes them susceptible to con artists who want to find the most vulnerable personalities, like needy relatives.
Elders can sometimes get embarrassed by getting scammed, which may lead some of them to hesitate reporting it to the authorities. This often makes elders attractive targets because scammers know there’s a high possibility they won’t get caught.
On top of that, many elders have no idea how or where scams are to be reported.
If you prefer not to use the internet, AARP has set up a special “hotline” to report scams and fraud:
AARP Fraud Watch Network Helpline: 877-908-3360
There are a number of government websites where you can report scams. Here’s just a few:
Scam Types (provided by the Federal Trade Commission)
Winning Sweepstakes/Lottery
Internet scams can be disguised as winning entrees for a sweepstakes or lottery. Bright, loud advertisements may pop up on screen saying you’ve won a certain amount of money or product for helping the website hit a milestone or because you were a random lucky winner. This is part of a scheme to get you to share personal information, like bank account numbers or your credit card, to “wire” you the money.
Counterfeit Prescription Drugs
You may receive advertisements or emails letting you know of prescription drugs that work just as good and are cheaper than they ones you’re paying for now. These are, largely, fake. These drugs may not even be real, and the people behind them are just trying to get your insurance information or credit card number.
Fake Anti-Aging Products
There’s no shame in trying to look and feel younger. The unfortunate part, though, is scammers use this as an opportunity to get money out of the elderly. Advertisements for fake Botox, creams, and other anti-aging products pop up and some folks will bite. This is another scam that can be sent through email. This can be dangerous, especially for anti-aging products that you need to inject to take. First of all, the products may not even be real, so you’re paying for something you won’t actually receive. And secondly, you may be paying for a product that, once it shows up, could harm you.
Fake Credit Card Advances
You may run into scams on the Internet that deal with credit card cash advances. Here’s how it works: a “credit card company” (scammers will put a reputable company’s name on the ad like Visa or MasterCard) will offer you a credit card with a pre-approved limit, usually in the thousands. The catch is that you have to pay upfront for the credit card’s “annual fee,” which is where the scammers make their money. You’ll most likely have to enter your social security information and bank information in this process, which is a complete scam. It makes no sense for a credit card company to give you a massive spending limit without knowing your credit score. If you detect something is a scam, contact the company directly with a phone call to see if the offer is real.
Free Vacation
Scammers may use a “free vacation” to get money and information from you. The “vacation” is advertised as a great deal to a popular destination, but the property advertised may not be owned by the person advertising it or it may not even exist. The ad will then ask you to place a down payment for the deal, which often has a short time limit. When it’s time to arrive at the destination, you may come to find the property doesn’t look as advertised or it may not even be where it’s supposed to be. The deal, which probably at first glance was too good to be true, was never real to begin with. For this specific type of scam, the Better Business Bureau encourages you to read reviews of the property before booking and, if you do end up paying, use a credit card, so you can potentially dispute the charges if you act quick enough.
For information about Elder Companion Service in North NJ call Applause Home Care at (201) 326-8051.
