Elder fraud increases in the senior and near-senior age categories. With more individuals online than ever, scammers adapt and mimic communications. They pose as tech staff support, government employees, and romantic partners. Seniors emerge as a vulnerable group because they often own homes and boast financial savings, good credit scores, and trusting natures.
Elder Fraud Statistics from 2019 to 2021
For those over 60 years old category, losses total nearly $1.7 billion. This reflects a 74 percent increase from 2020. Ultimately, the average victim lost $18,246. And 3,133 victims lost more than $100,000. Between 2019 to 2020, fraud and identity theft increased by 47 percent. What’s more, the FBI released alarming 2021 statistics for multiple age categories.
People Often Fail to Report
Overall, older Americans lost nearly $4 billion to financial scams in 2021. And, sadly, seniors fail to report losing money to fraudulent schemes. One reason is because they feel embarrassed or ashamed. However, the FBI speculates they may fail to report because they do not understand the process. The FBI Internet Crime Complaint Center serves as a reporting mechanism for cases of online fraud and other complaints. However, the Federal Trade Commission serves as the main agency collecting scam, fraud, and identity theft reports.
Most Common Scams:
- Phone calls
- Emails
- Imposter scams
- Computer support scams
- Demands to send money via check, wire transfers, or gift cards
- Fake checks
- Student scholarship or loan scams
- Sweepstakes, prizes, and grant offers
How to Prevent Elder Fraud
As percentages for fraud reporting increase with age, help aging parents and loved ones avoid falling victim. For example, meet with an elder law attorney or estate planning lawyer for suggestions about handling and monitoring bank accounts, credit cards, etc. Thus, doing so protects the vulnerable. A financial power of attorney or guardianship offers a trusted family member or professional financial group legal access.
Tech Support Scams
Due to COVID-19, older individuals’ preferences became stay-at-home for health protection, prompting them to go online more frequently, increasing the likelihood of internet scam exposure. The internet of things and all the opportunities it presents, combined with managing apps, software, passwords, updates, and hardware challenges, can create confusion in seniors who are not so savvy about the digital age. Because of these conditions, older adults are six times more likely to report being defrauded through a tech support scam than younger counterparts.
Elder Fraud Romance Scams
The highest aggregate financial losses for individuals over 60 years of age occur due to romance scams. Often these older adults experience loneliness, making them easy targets. They may wire transfer money, send gift cards, and make credit card payments to someone they believe is a companion or love interest.
Many scams put older Americans at risk of being defrauded of their money and dignity. The statistics show scam artists are making more money than ever. Establishing a relationship with an older family member or loved one intending to monitor their financial account activity can protect them from losing money. Educating older adults never to give out financial, government ID, or other personal information over the phone or internet is crucial to protect them. The older you become, the greater the risk of elder fraud. Knowing the possible schemes and planning additional oversight of your financial accounts can help protect your or a loved one from elder fraud. Contact our office to talk with an elder law attorney for resources and help to recover from fraudulent activity.
About Skvarna Law Firm in Glendora and Upland, California
Let a skilled attorney assist with your estate plan. So, contact us today to learn about your options (909) 608-7671. We operate offices in Glendora and Upland, California. Therefore, we provide legal services for individuals living in San Bernardino, Los Angeles, Orange, and Riverside Counties. This includes the cities of Upland, Ontario, Rancho Cucamonga, Fontana, Colton, Rialto, Chino, Chino Hills, Glendora, Claremont, Montclair, Pomona, La Verne, San Dimas, Azusa, Covina, West Covina, Diamond Bar, Walnut, La Puente, Corona, Norco & Mira Loma. Visit SkvarnaLaw.com to learn more.
