Bipartisan Report 2025, Age of Fraud: The fraud faced by seniors in our country is shining the spotlight on the growing financial threats facing older people. In 2024 alone, fraud and fraud cost seniors a staggering $4.8 billion, with people aged 50-59 losing another $2.5 billion.
Melanie McGovern, Director of Public Relations for Better Business Bureau, shares this information. BBB’s 2024 fraud tracker risk report shows that investment and cryptocurrency fraud are the most risky for over 55 individuals. Employment fraud, along with romance scams, was the second most dangerous for consumers aged 55 to 64. Romance scams were the second most common among these ages 65 and older, followed by home improvement scams.
These scams not only erode trust, confidence and emotional well-being, but also eliminate savings. This is a guide to navigating this new reality and practical steps to staying safe.
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Why are fraudsters targeting seniors?
Unfortunately, older people are often easy targets for scammers. Generally, that’s because the age group is likely to be polite, trustworthy and financially stable. Some older people are not familiar with the latest digital technology, making them particularly vulnerable to the elaborate tactics of fraudsters, including AI-generated deepfakes, phishing emails, and fake tech support calls. Social isolation and cognitive decline can lead to vulnerability and embarrassment, which often prevent victims from reporting losses to family, friends, or authorities.
Phishing: It may look fake emails, texts, or authentic, but tricks to sharing personal information, such as passwords and bank details. This includes clicking on malicious links that appear to be from trustworthy sources such as banks or friends.
DeepFakes: AI-Made audio, video, or images will mimic real people and trick you by sending money or revealing sensitive information.
Emotional sacrifice
The financial impact of such fraud can be enormous, including whether a person loses some or all of their retirement savings. Scams can also take a heavy emotional cost. Victims often feel angry (55.6%), stimulation (68.5%), or embarrassment (15.7%), with some experiencing a decline in physical health (6.2%). Being judged by family and fearing losing independence can make the pain worse and it makes it even more difficult to seek help.
For fixed income retirees, some or all of the loss of the nest eggs means relying on family members from work-related accounts such as 401(k) or IRAs or withdrawing funds early. Losing your savings will allow you to change the expected free time in your survival.
Matthew Stern, a certified artificial intelligence and research expert at CNC Intelligence, said, “Cheaters prey on politeness and emotions. They try to catch us off guard and seek quick decisions.
Common scams targeting retirees
Among other things, the FBI lists these common scams that are generally targeted at older people.
Medicare and Healthcare Scars: CON artists are posing to steal your personal information as Medicare representatives or to bill you for services that do not exist. In 2024, these scams resulted in a loss of $789 million. Sweep Stakes, Charities, or Lottery Scams: Scammers claim they have won lottery tickets and sweepstakes. Or they claim to work for a legitimate charity to gain your trust while seeking money, usually in the form of a credit card or bank card number. Tech Support Fraud: Criminals claim that they are spoofing high-tech companies and deceiving you to grant remote access or paying for fake services. According to a CBS report, the retired New York state lawyer lost $468,000 in just 75 days in such a scam. Investment Fraud: Investment Fraud: Scammers are arresting and threatening government employees as a fraudulent fraud in 2023, so they stop arresting a setted condion as a contarials compentation in 2023 by arresting a 2023 contémans condians compentation compentation as a condion condain condemans compentation. Debt Fraud: Darius Kingsley, managing director of Chase Bank’s director of consumer banking, has seen a noticeable rise in bank spoofing fraud against older consumers recently. These scams include scammers who trick individuals into pretending to be bank representatives in order to provide personal information or money.
The rise of cyber and AI-driven fraud
Stern understands how catastrophic fraud is, not only financially but emotionally, for older people. “One of the biggest concerns right now is the clones of voices. Just because someone sounds like your grandchild doesn’t mean it’s really them. I always say to people: you’re asking for money, call the number you already know, and that simple act of verification can be the difference between safety and financial ruin.”
He witnessed this firsthand. “I got Facebook messages from relatives and immediately knew they weren’t them. The way the scammers wrote the messages was incorrect and I never talked to my relatives on Facebook.
Action steps to protect yourself
First, confirm: do not act impulsively under pressure. If you contact us unexpectedly, we will hang up and call back using the number confirmed from your organization’s official website. This includes calls from so-called police or fire department associations, banks and other agencies. Use strong security. Update your device with antivirus software and install a firewall if possible. Do not click on any unknown links or download any software. Many community centers often offer free cybersecurity workshops for seniors. Plus, you can always reach out to your family and friends. Create a family password. The FBI advises families to establish secret phrases that only trustworthy families know to confirm requests for help, especially in grandparent scams. If you receive a call, ask for that password. If they can’t respond correctly, hang it up. Restrict personal information: Please note that we share details online or with unsolicited callers. This includes banking information, social security numbers and other sensitive information. Check your social media privacy settings to minimize the risk of your contact information being shared without your consent. Report fraud immediately: Contact the FTC at Reportfraud.ftc.gov, the FBI Internet Crime Complaint Center for ic3, or call the AARP Fraud Watch Network Helpline at 877-908-3360. Reporting can help protect others and may help you recover from your losses. SeekSupport: If you are a victim, don’t let embarrassment stop. When it comes to senior fraud, you are not alone. Talk to family, friends, or adult protective services at 1-800-677-1116.
“Safe” Pass Advance
Isn’t it great to approach retirement with joy, not fear,? Be vigilant, maintain your sales skills carefully, and lean on family and friends to protect your savings and stay calm. Stern’s story reminds us that anyone can target, but it is also a call to action. Have knowledge, seek confirmation, connect with others, and regain retirement.
