Protecting Seniors from Payment Scams: What You Need to Know

As technology evolves, so do the tactics used by scammers. Unfortunately, seniors often find themselves targeted by fraudsters who exploit their trust and unfamiliarity with emerging payment systems. The consequences of these scams can be devastating, both financially and emotionally.

It’s crucial for seniors, their families, and caregivers to understand the risks and learn how to safeguard against them.

Common Payment Scams Targeting Seniors

• Phishing Emails and Texts: Scammers impersonate legitimate organizations, such as banks or payment apps, asking seniors to provide personal information or payment details. These messages often create a sense of urgency, warning of account closures or suspicious activity.
• Tech Support Scams: Fraudsters pose as representatives from well-known tech companies, claiming that a senior’s device or account has been compromised. They convince victims to grant remote access or make payments for “fixes” that are unnecessary or fraudulent.
• Grandparent Scams: These scams prey on seniors’ love for their family. Scammers pose as grandchildren in distress, urgently requesting money for emergencies like bail, medical expenses, or travel mishaps.
• Sweepstakes and Lottery Scams: Seniors are informed they’ve won a prize but need to pay fees or taxes upfront to claim it. In reality, there’s no prize—just a fraudster collecting their money.
• Medicare and Healthcare: Scams Scammers pretend to be Medicare representatives to extract personal information or payment details, often by promising unnecessary medical services or equipment.

How to Stay Safe

Awareness is the first line of defense against these scams. Here are key steps seniors can take to protect themselves:

• Verify Requests: Always double-check unsolicited communications, especially those requesting personal or financial information. Contact the organization directly using official contact details.
• Use Strong Passwords: Secure online accounts with unique, complex passwords and enable multi-factor authentication whenever possible.
• Be Skeptical of Urgency: Scammers often pressure victims to act quickly. Take time to verify the legitimacy of a request before taking any action.
• Educate Yourself on New Payment Systems: Familiarize yourself with how digital wallets, peer-to-peer payment apps, and other systems work. Understanding these tools reduces the risk of falling for scams.
• Report Suspicious Activity: If you suspect fraud, report it to your bank, payment provider, and law enforcement immediately. Early reporting can minimize losses and help authorities track down scammers.

A Community Effort

Family members, caregivers, and community organizations play an essential role in preventing elder fraud. Regular conversations about financial safety and staying informed about new scam tactics can make a significant difference.

Join Our Webinar on Elder Fraud

The IPA is proud to partner with the Benjamin Rose Institute on Aging for a vital member-only discussion:
"A Multi-faceted Approach for Working with Older Adults who have Experienced Fraud and/or Scams"

• Date: Tuesday, January 23, 2025
• Time: 3:00 PM ET
• Register Now

Learn about effective strategies, real-world case examples, and actionable steps to prevent financial exploitation of older adults from industry experts, including Dr. Jessica Bibbo, Courtney Reynolds, and Ianto "Tony" Hill.

Additional Resources

If you’ve been the victim of a scam or want to help protect others, there are numerous resources available to assist:

• Visit the IPA’s scam resources page for guidance and tools: https://www.ipa.org/scamresources.html
• Report scams to the FBI’s Internet Crime Complaint Center (IC3) here: https://www.ic3.gov/

The information provided on these webpages does not, and is not intended to, constitute legal advice. Instead, it is for general informational purposes only.

Remember, victims of fraud are just that – victims. Scammers use sophisticated methods to exploit vulnerabilities, but with the right resources and support, recovery is possible. Take action today to protect yourself and others from financial harm.