How to Protect Loved Ones from Elder Financial Abuse

Elder financial abuse is a growing concern that costs adults billions each year. From technology support hoaxes to romance scams and fake investment opportunities, fraudsters are constantly evolving their tactics to stay one step ahead.

Let’s break down what this financial abuse looks like, how to spot it, and most importantly, how to protect yourself and those you care about.

What Is Elder Financial Abuse?

Imagine this scenario: A grandmother receives a frantic text from someone claiming to be her grandchild. They say their wallet was stolen and need money right away. Wanting to help, she transfers the funds to the link provided only to find out later it was a scam.

This is an example of elder financial abuse. It happens when someone manipulates or deceives an adult to gain access to their money or assets. The scammer could be a stranger, caregiver, trusted professional, and sometimes, a family member. Scammers often build trust and form relationships to exploit their victims.

Common Scams Targeting Older Adults

Here are some of the most frequent scams currently circulating:

• Relative Scams: Fraudsters pose as family members in distress, asking for money via gift cards, wire transfers, or payment apps.
• Imposter Scams: Scammers pretend to be from tech support, government agencies, banks, or insurance companies. They use emails, texts, and calls to pressure victims into acting fast, often installing malware into devices or stealing sensitive data.
• Gift Card Scams: These involve fake debts or refunds. Scammers ask victims to buy gift cards and share the codes, draining the funds instantly.
• Romance Scams: Using social media or dating platforms, scammers build emotional connections and then ask for money to escape a fabricated crisis.
• Crypto and Investment Scams: Fraudsters promise high returns with no risk. These scams often involve fake investment platforms or cryptocurrency schemes.

How to Protect Yourself and Loved Ones

Here are some simple but powerful steps you can take to keep you and your loved ones safe:

• Verify any request for money or personal info, especially if it comes via email, text, or phone.
• Be cautious about sending money to someone you’ve only met online.
• Talk to someone you trust before making financial decisions.
• Never share passwords, PINs, or account numbers.
• Secure your devices with antivirus software and encrypted messaging.
• Set up alerts on your financial accounts to monitor for suspicious activity.
• Avoid clicking on links in emails or texts from unknown sources.

Remember that legitimate companies will never ask for payments via gift cards, crypto currency, or through peer-to-peer apps.

To help safeguard your loved ones from financial exploitation, start by having regular conversations about money and the types of scams that are currently circulating. Staying connected is key. Watch for these red flags:

• Sudden changes in banking habits or account access
• Large or unexplained withdrawals
• New “friends” or romantic partners
• Changes to legal documents like wills or powers of attorney
• Isolation from family and friends
• Unusual spending or new credit cards

Monitoring credit reports and account statements can help catch suspicious activity early, and setting up transaction alerts adds an extra layer of protection. It’s also important to make sure that legal documents like a will, powers of attorney, and trusts are in place to protect their assets and wishes.

When it comes to protecting older adults from financial abuse, staying informed and proactive is one of the most effective ways to stay ahead of scammers. If you have questions, need support, or simply want to learn more, we’re here for you. Visit our Fraud Prevention & Account Security page for helpful resources, and if you ever suspect something isn’t what it should be, give us a call at 888.800.3328 to speak to a trusted representative.