Elder Exploitation and Scams

There are many schemes that are used to defraud all ages of people. The prevalence of the internet and technologies has made it easier to do many things in life.  Some are good and some are not so good. It is possible for someone in a foreign country to call your phone, with what appears to be a local phone number. It takes a great deal of care to know who is really who these days. There are a number of scams that are used, and more are being developed each day.  They can sound extremely genuine, but the result is the same – you or a loved one can lose significant savings at a time when it is hard to save more. Here are a few of the more common ones:

Phishing

The caller or email is trying to get you divulge your Credit card, bank account, email, ID/password info. Credit Card companies do not ask you for this. Ever.   If you do have  to call your credit card company use the number on the back of the card.  Avoid putting sensitive info in any email – social security numbers (SSNs), Medicaid or Medicare numbers are included in this list. If an email asks you to “verify” your information, it is almost certainly a phishing attack. Do not be scared by onerous threat. One has the caller masquerading as an IRS employee requiring you to WIRE them or provide credit card or money-like account info to immediately settle up.   Call your local IRS Office.

The Mortgage Rescue scam

Did you know state and federal laws make it illegal for companies and individuals to charge you for help with foreclosure prevention?  Especially if someone offers to help you out, but requires money UP FRONT, it’s a scam.  There are hundreds of variations…  a couple of the more common start with these:

-  They will negotiate a deal with your lender, they may even ask that you pay your mortgage payments directly to them while they negotiate. Then they disappear.

-  You think you are signing your new mortgage documents, when you are really signing the deed for your home over to the scammer.

The Grandparent Scam

It starts with an unexpected call or an email from someone who claims to be a friend or relative. This often happens to grandparents with the caller claiming to be their grandson or granddaughter.   The caller says there’s an emergency and asks to be sent money immediately.  They may start out with “Hi Grandma!” The “Grandparent” might answer “David, is that you?” They would respond, “Yes!”   They may also be able to pull your relationships from Facebook accounts or other social media.   It can go anywhere from here…  Scammers may also pose as law enforcement or an attorney.  They request the use of something like Money-Gram or Western Union to get it as quickly as possible.

The IRS Lawsuit Scam (this paragraph is directly from www.irs.gov)

Scams using the IRS as a lure continue. They take many different forms. The most common scams are phone calls and emails from thieves who pretend to be from the IRS. They use the IRS name, logo or a fake website to try to steal your money. They may try to steal your identity too.

Be wary if you get an out-of-the-blue phone call or automated message from someone who claims to be from the IRS. Sometimes they say you owe money and must pay right away. Other times they say you are owed a refund and ask for your bank account information over the phone. Don’t fall for it. Here are several tips that will help you avoid becoming a scam victim.

The real IRS will NOT:

-Call you to demand immediate payment.

-The IRS will not call you if you owe taxes without first sending you a bill in the mail.

-Demand tax payment and not allow you to question or appeal the amount you owe.

-Require that you pay your taxes a certain way. For example, demand that you pay with a prepaid debit card.

-Ask for your credit or debit card numbers over the phone.

-Threaten to bring in local police or other agencies to arrest you without paying.

-Threaten you with a lawsuit.

You’ve already won…

The lottery, and inheritance,  some windfall.  You pay them a finder’s fee or percentage of the winnings or some fee. There really is no windfall, and the scammer disappears.

Easy at home job processing checks

Scammers play the “float time” where your bank cashes the check and then you wire them money against your account.  In the next couple of business days it will turn out that the check was uncollectable and the “wire-to” account has vanished. This can also done with checks that a larger than they need to be for your “fee” and you wire them the difference back.

Medicare Scams

There are too many to list, but Medicare will never call you to sell you something.   Senior Medicare Patrol organizations exist in each State and can be most helpful. Go to http://www.smpresource.org/ to find your local resources.

Utilities scams

Seniors are often targeted by scammers who pose as representatives from a utility company, such as the phone, power, or gas companies. The reason is simple: with the threat of losing their service hanging over their heads, elderly residents are scared into paying. If someone calls to say that your gas bill is overdue and your heat is about to be cut off, or someone calls and states that your electricity is about to be suspended for non-payment, hang up immediately and call the utility company directly using a verified telephone number you can find on your monthly bill.

e-Mail and computer Scams

Protect your email account from being used by scammers.  Use a firewall, anti‐virus and anti‐spyware software. Many computers come with these features already built‐in. They are also easy to find on the Internet from trusted sources. Keep your software and security programs updated. Don’t open attachments in emails from strangers, since they can contain programs that enable crooks to get into your computer remotely. Even if you do think you know them, if the attachment seems unusual, it might be a better idea to delete the email and call them back instead. Sometimes it appears that someone you know sent an email. Many e-mail programs allow you to see the actual email address of the sender – check it if you aren’t 100% sure if it’s an authentic email.  Spyware is often installed by a program hidden in an attachment. Spyware can do many different things, but one is to log your keystrokes and send them back to the spyware developer. They have programs that cull through your keystrokes looking for USERID/passwords, Credit Card info and other sensitive information.

Tips:

-If it’s too good to be true, it isn’t true…

-DON’T give away your Power of Attorney. Moreover, read EVERY clause of something you are considering signing.  Don’t be afraid to cross out clauses and initial, and make them initial your copy. Remember to get your signed copy of any contract.

-If someone is pressuring you to sign a contract, that’s usually a bad sign. Pressure tactics include “Limited time offer”, etc.  They may not want you to have the time to ask someone you trust to evaluate it too.

-If you need to provide passwords, credit card numbers, personal information, especially quickly be very cautious.

-If your English is not fluent, bring along a trusted translator.

-Caller-ID can be very helpful in avoiding situations. If you don’t recognize the name, let the phone call roll-over to the answering machine.

Helpful resources

National Center on Elder Abuse: 1-855-500-3537 and  https://www.acl.gov/node/1

Finding free foreclosure help:  www.findaforeclosurecounselor.org

https://www.fbi.gov/scams-and-safety/common-fraud-schemes/seniors

http://www.aarp.org/money/scams-fraud/info-08-2013/protect-your-parents-from-scams.html

http://comparitech.net/elder-fraud

https://www.sec.gov/investor/seniors/guideforseniors.pdf

Copyright 2017, AGIS Network, Inc.