An elder financial scam is any scheme in which scammers target older adults to steal money, personal information, or access to their finances. These scams exploit seniors’ trust, isolation, cognitive decline, or unfamiliarity with digital systems.
Common Types of Elder Financial Scams
Here are the major ones to watch out for:
- Impersonation Scams
Scammers pretend to be:
- A grandchild in trouble (“Grandparent scam”)
- Government officials (IRS, Social Security, immigration officers)
- Bank or tech support agents
They create urgency to pressure the victim into paying quickly.
- Tech Support Scams
Fraudsters call or pop up on the victim’s computer saying:
- “Your computer is infected.”
- “Your bank account has been hacked.”
They then request remote access or ask for payment to “fix” the issue.
- Medicare or Health Insurance Scams
Scammers steal:
- Medicare numbers
- Insurance details
Used for fraudulent medical billing or identity theft.
- Romance Scams
Fraudsters build online relationships with seniors and then ask for money for:
- Emergencies
- Travel
- Investment opportunities
- Sweepstakes or Lottery Scams
Victims are told they’ve “won a prize” but must pay fees or taxes upfront.
No real prize exists.
- Investment & Cryptocurrency Scams
High-return promises or fake advisors push seniors into:
- Fake investment schemes
- Bogus crypto platforms
- Ponzi schemes
- Caregiver or Family Exploitation
Trusted individuals (family, friends, paid caregivers) misuse access to:
- Bank accounts
- Checks
- Credit cards
Or force the elder to sign documents.
Warning Signs
- Sudden large withdrawals
- New “friends” handling finances
- Strange transactions or unpaid bills
- The elder seems confused about financial decisions
- Pressure to keep secrets
How to Protect Against These Scams
- Never share PINs, OTPs, or personal data by phone or email.
- Verify callers by contacting the real organization.
- Enable multi-factor authentication on accounts.
- Use call-blocking and antivirus tools.
- Involve trusted family members in major decisions.
- Report suspicious activity immediately.
