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'Tis the season to be … cautious? Actually, it’s that time of year to be extra cautious. Especially when it comes to protecting our senior family members and friends from scams and fraud.
Seniors are the population most susceptible to a variety of scams. Indeed, the FBI, in its latest analysis, reports that the number of seniors affected by scams has increased significantly. And the holiday season — when people are feeling generous — and the virtual ubiquitousness of technology in daily life compounds their susceptibility.
This is why it’s important to keep in contact with our older family members to make them aware of these scams, assist with their questions, and listen to them. The best defense against a scammer is knowledge and awareness.
There are many different scams out there, but they are all potentially devastating to the victims.
In addition to typical romance scams, some of the more common criminal scams are nonpayment/non-delivery of goods or services and identity theft. But it doesn't stop there.
Here are some of the common scams that target seniors and other vulnerable persons.
Romance scams — a new twist
Connecting with someone over the internet is a benefit of technology. The world is now open at the press of a button to talk with those who share our interests, hobbies, and passions. The converse side is that there are now people who know our information, interests, and vulnerabilities.
The new twist on this relationship scam is asking victims to invest in cryptocurrency. The scammers are exploiting their budding romance with the fact that their victims are not crypto savvy and will believe the information they provide about fictious returns. The victims believe they are investing in cryptocurrencies, while the scammers are actually stealing the funds. Most of the money involved cannot be recovered. (Related: A new kind of romance scam)
Charity scams
The holiday season evokes feelings of charity and generosity to help others, both at home and abroad. Scammers take advantage of our desire to help and will create fraudulent charities or fake websites and emails claiming to represent legitimate charities to lure people in to make contributions. So, whether the donations are to an overseas, national, or local charity, it is important to be diligent in knowing who is receiving the donation and how the donation is transmitted.
The Federal Communications Commission advises that verifying all phone numbers for charities, not opening suspicious emails claiming to be from charities, and being skeptical of social media posts are good ways to protect against fraudulent activities presented under the guise of charitable organizations.
Shopping scams
Knowing the difference between a legitimate website and a lookalike website can prevent considerable amounts of money from going to criminal scammers. Looking to see where the “products” are shipped from, the estimated delivery time, and, most important, payment information can help protect against these scams.
Just because a website is advertising a product for a competitive price, does not always mean it’s legitimate. Look for the little details. Misspellings, the secure pay (lock) sign, and legitimate website address (for instance, .com versus .cm) can be the difference between buying an actual gift or potential financial ruin.
Delivery scams
Because of the increase in online shopping, delivery scams are becoming more prevalent as well. These are not the typical porch-pirate thefts but more advanced scams. Calls, texts, or emails about deliveries of gifts not purchased, then asking for a senior's details to deliver is an attempt to steal credit card numbers or personal information.
It’s important to look where the communication is coming from and do not provide the information if it looks amiss. It’s easy this time of year to lose track where different gifts are coming from; however, no gift is worth the risk of being scammed.
Technology scams
While many of the scams may use technology to facilitate the crime, one specific scam is known as the “technology" or "IT support” scam. This scam preys on a person’s fear of being hacked.
The scammer claims to be from a reputable technology company, such as Microsoft, and offers to “help” the victim with some fake computer problem, such as a virus. They ask the victim to allow them to remotely access the victim’s computer. This results in the scammers then requiring the victim to pay for “fixing” the nonexistent problem, as well as the scammer obtaining the victim’s information that is stored on the device. The scammer might also install malware on the computer.
The Cybercrime Support Network explains that reputable companies will not reach out directly by phone or text with an offer to fix a person’s computer.
Grandparent scams – still happening
This scam has been around for many years. A spoof phone number can tie back to a family member and convince the senior that a family member needs help when it is, in fact, a scammer. The scammer will ask for funds or gift cards and specifically instruct the victim to not tell anyone about the matter, claiming that the “grandchild” will get into additional trouble if the victim were to do so.
The best course of action is to directly reach out to the family member who supposedly needs the help before providing any information or funds. Typically, the family member is perfectly fine and does not need any assistance.
Conclusion
Open communication with our senior friends and family members is an effective way to combat scammers. A text or quick conversation to educate them about a new type of scam you might have read about could help prevent them from falling victim to one. (Related: Tips for talking about finances with your aging parent)
Also, be sensitive to how you characterize scams. Avoid blaming the victim when discussing these situations. Blaming or even talking negatively about the victims may discourage the seniors in our lives from feeling they can discuss their concerns about a scam or admitting that they’ve been a victim.
Anyone can become the target of a scam; threat actors are sophisticated, and the complex intricacies of available technology make all of us vulnerable — not just seniors. We must remember that the seniors’ intent in their activity is generally good; no one contributes to scammers willingly.
Working to protect our vulnerable senior clients is another way that MassMutual lives mutual.
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