Elderly adults are often targeted by scammers who try to steal their personal information or convince them to give away their money for a plethora of reasons. These scams can devastate older adults and their families emotionally and financially. According to the FBI, elder fraud losses in 2021 totaled almost $1.7 billion, which is almost a 392% increase from 2017.
You should be aware of the warning signs of scams targeting your elderly parents and take steps to protect them. This article will provide tips and strategies for safeguarding your parents from scams and other forms of financial exploitation.
Warning Signs to Watch For
Sometimes you will not be able to catch every scam before it reaches your parents. It is important to be aware of the warning signs that a scam may be targeting them. Some of the most common signs to look out for are:
Unusual financial transactions: If you notice that your parents are making large or frequent withdrawals from their bank account, or if you see unfamiliar charges on their credit card statements, this could be a sign they are being scammed.
Unsolicited phone calls or emails: Scammers often use unsolicited phone calls or emails to try to gain access to personal information or convince their victims to send money. Some con artists may even claim to be a grandchild. If your parents are receiving a lot of these types of communications, it could be a red flag.
Pressure to act quickly: Scammers often try to pressure their victims into acting quickly, whether it's by threatening them with legal action or promising them a great deal. If your parents are feeling pressured to quickly make an unusual financial transaction, they may be falling victim to a scam.
Unwillingness to talk about finances: If your parents become defensive or refuse to talk about their finances, this could be a sign that they are being scammed or have fallen victim to a scam.
If you notice any of these warning signs, it's crucial to take action to protect your parents. The first step is to talk to your parents about your concerns and help them take steps to protect themselves from scammers. You may also want to consider reporting the scam to the appropriate authorities, such as the Federal Trade Commission (FTC) or local law enforcement.
Protecting your Parents' Personal Information
A key step in protecting your elderly parents from scams is safeguarding personal information like their Social Security number, credit card information, and bank account numbers. If a scammer were able to get access to any of that information, the consequences could range from financial loss to identity theft.
Some ways to protect your parents' personal information are to:
Use strong passwords: Make sure your parents employ strong passwords for their online accounts, and encourage them to use a password manager to keep track of their passwords. Also, remind them not to share their passwords with anyone.
Use two-factor authentication: While this technology can be a hurdle for those unfamiliar with it, setting up two-factor or multi-factor authentication would add an extra level of security to your parents’ accounts.
Check their credit report: Check your parents' credit reports regularly to ensure that no one has opened accounts in their name without their knowledge.
Monitor their bank accounts and credit card statements: Monitor your parents' bank accounts and credit card statements for any suspicious activity, and report any unauthorized transactions to their financial institution immediately.
Be cautious with email attachments and links: Warn your parents not to open email attachments or click on links from unknown or suspicious sources, as these could be a way for scammers to install malware on their devices or steal their personal information.
Beware of unsolicited offers: Warn your parents to be suspicious of unsolicited offers or requests, such as a phone call offering a free vacation or an invoice for a service they didn’t schedule.
Educating your Parents About Scams
You won’t always be around to help when your parents are being targeted by scams since you’ll have other responsibilities, like a job or kids. If you educate them about how to identify and avoid common scams, then they’ll have a much better chance of not falling victim.
Here are some tips to help you get started:
Start with the basics: Begin by explaining what a scam is and how it works. You can use real-life examples or stories to illustrate your point.
Discuss common scams: Talk to your parents about common scams that target seniors, such as the IRS scam, tech support scams, and grandparent scams. Make sure they understand how these scams work and what to look out for.
Encourage skepticism: Help your parents develop a healthy dose of skepticism when it comes to unsolicited phone calls, emails, and text messages. Teach them to be wary of anyone asking for personal information or money.
Emphasize privacy: Remind your parents to keep their personal information private, especially when it comes to financial information. Advise them to be careful when giving out their Social Security number, bank account information, and credit card information. Giving away this information to a con artist could lead to identity theft.
Provide resources: Provide your parents with resources they can use to stay informed about scams, such as the Federal Trade Commission's website, AARP's Fraud Watch Network, and local law enforcement agencies.
Practice safety measures: If your parents are not comfortable with using the internet, show them how to use privacy settings on their phone and social media accounts. Make sure they know how to create strong passwords and how to identify phishing attempts.
Be available: Let your parents know they can come to you with any questions or concerns they may have about scams. Encourage them to reach out to you before making any big financial decisions or sharing personal information. Working together and providing your parents with support, information, and resources can help keep your parents safe from scams.
Preventing your Parents from Becoming Targets
In addition to educating your parents about scams and how to recognize them, you can take preventative steps so they won’t become targets of scams in the first place. Some strategies for preventing scams include:
Encourage caution: Encourage your parents to be cautious when providing personal information, especially over the phone or online. Tell them to verify the identity of anyone who asks for personal information before providing it.
Use caller ID and screen calls: Tell your parents to use caller ID to screen calls from unknown numbers. If they don't recognize the number, they can let it go to voicemail. You can also set up caller ID blocking services so unwanted calls occur less often.
Set up fraud alerts: Help your parents set up fraud alerts on their financial accounts. This can help them be alerted if there is any suspicious activity on their accounts.
Install antivirus software: Installing antivirus software and setting up firewalls on your parents’ computer can help prevent online scams, including malware from an email attachment or link.
Stay up to date: Keep current on the latest scams and alert your parents if there is a new scam going around. You can also sign up for scam alerts from government agencies or consumer watchdog groups.
Check mail: Help your parents clean out their mailbox and throw away any unsolicited mail or junk mail that looks like it could contain scam offers.
Involving Other Family Members
There is only so much you can do alone to protect your elderly parents. If you have other family members, try getting them involved. This can help ensure that a network of support is in place to safeguard your parents from scams and other forms of financial exploitation.
Here are some tips to help you start involving other family members:
Start a family discussion: Schedule a family meeting with your siblings and other close family members to discuss the importance of protecting your elderly parents from scams. Share your concerns and discuss ways to identify and prevent scams.
Assign roles and responsibilities: After the family discussion, assign specific roles and responsibilities to each family member. For example, one person could be responsible for monitoring bank and credit card statements, another for screening calls and emails, and another for checking in on your parents regularly.
Stay in communication: Regularly communicate with your family members to ensure everyone is on the same page and that there are no gaps in protection. Consider setting up a family group chat or email chain to share information and updates.
Going the Legal Route
Another option is to talk to your parents about establishing a financial power of attorney (FPOA). This would allow them to designate someone, usually a trusted family member, to make financial decisions on their behalf.
If they are prone to falling victim to scams, or are otherwise unable to make financial decisions for themselves, establishing an FPOA could make the most sense to protect them from financial harm.
Conclusion
There are plenty of scams targeting elderly adults, and it doesn’t look like they will be stopping any time soon. Scamming techniques will continue to evolve, so it’s important to stay vigilant and aware of different types of scams.
Educating your parents, monitoring accounts and emails, and keeping an open line of communication will help protect your family from scams and ensure that they can make informed financial decisions.
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