Financial fraud targeting older adults doesn’t make the news every day — but it probably should. Scams aimed at people 60 and older have quietly grown into one of the largest financial crime problems in the country, and the losses are staggering.
Recent FBI data shows that older adults reported nearly $5 billion in fraud losses in a single year — a 43% jump from the year before. Behind that number are real people, including those with emptied retirement accounts, homes remortgaged, and far too many who felt too ashamed to tell anyone what happened. Experts believe the true toll is even higher, since so many cases go unreported.
Whether you’re watching over your own finances or helping a parent stay protected, knowing what to look for makes all the difference. Here’s what families need to know about protecting older adults from financial fraud.
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Why Are Older Adults More at Risk for Financial Fraud?
It’s not random. Scammers specifically target older adults because they tend to have accumulated savings, own property, and may be more trusting or socially isolated. The FBI has noted that older adults are also less likely to report fraud when it happens — sometimes out of embarrassment, sometimes because they don’t realize it occurred.
The Federal Trade Commission reports that financial fraud losses for adults 60 and older quadrupled in just 4 years, from $600 million to $2.4 billion. The FTC estimates the actual number could reach $82 billion when accounting for unreported cases.
Here in New England, the FBI’s Boston Division — which covers New Hampshire, Maine, Massachusetts, and Rhode Island reported $134.9 million in elder fraud losses in a recent year. This isn’t just a big-city problem. It’s happening close to home.
➡️ Straightforward tips to safeguard your financial and personal information – Fraud Prevention: How to Protect Yourself From Dangerous Scams
The Financial Fraud Scams Hitting Older Adults Hardest
Knowing what’s out there is the first step. These are the scams causing the most damage:
1. Investment Scams: The most financially devastating category. These often start on social media, where someone positions themselves as a successful investor. Cryptocurrency investment fraud is a fast-growing piece of this. Losses for adults 60 and older topped $1.8 billion in recent FBI data.
2. Tech Support Fraud: The most commonly reported scam. Someone calls or sends a pop-up claiming your device has a virus. They ask for remote access. Once they’re in, your accounts are at risk.
3. Government Impersonation: Scammers pose as the IRS, Social Security Administration, or Medicare. They create urgency — ‘Your benefits will be cut off’ or ‘You owe back taxes’ — to pressure victims into acting fast. FTC data shows losses to this type of scam have jumped dramatically in recent years.
4. Romance and Confidence Scams: These play out over weeks or months. A scammer builds trust through calls, texts, or emails — then asks for money. Losses to this type of fraud exceeded $350 million in a recent FBI reporting period.
5. The Phantom Hacker Scam: A newer scheme the FBI has flagged. First, someone poses as tech support. Then a second ‘agent’ calls pretending to be from your bank. A third claims to be from a federal agency. By the end, they’ve convinced the victim to transfer their own money somewhere ‘safe.’ It isn’t.
Red Flags Someone Is Being Targeted
These financial fraud warning signs can show up before any money is lost. Take them seriously.
- Unexpected contact from someone claiming there’s an urgent problem
- Pressure to act right now — ‘This offer expires today’ or ‘You’ll lose your account’
- Requests for payment by gift card, wire transfer, cryptocurrency, or gold — no legitimate agency or company asks for this
- Instructions not to tell family members
- A new ‘friend,’ financial advisor, or tech support rep who appeared out of nowhere
- Confusion about recent transactions or money that seems to be missing
⭐ Many families that think they were well-prepared for disaster to strike find out that they lacked adequate coverage after the fact – 3 Financial Protection Habits Every Family Needs
Red Flags Financial Fraud Is Already Happening
Fraud against older adults often goes unnoticed until it’s already in progress. Be alert for these warning signs on bank statements and in the mail:
- Unexplained withdrawals or wire transfers
- Missing bills, statements, or checks that used to arrive regularly
- New accounts or credit cards that the person doesn’t remember opening
- Bills are going unpaid despite having the funds to cover them
- Checks written to unfamiliar names or organizations
- Increased secrecy around phone calls or finances
If you are helping an older adult at home, consider two simple steps to reduce the risk of fraud: use a locking mailbox to prevent mail theft and use a cross-cut shredder to dispose of financial documents. Both are inexpensive and easy to find online.
💻 As we’ve embraced online shopping and banking, scammers have found savvy ways to hack accounts and steal money – Financial Scams and How to Avoid Them
How Daily Money Management Helps Protect Older Adults from Financial Fraud
Overall, one of the most effective ways to catch fraud early — or stop it before it starts — is to have a set of experienced eyes regularly review financial activity.
Daily money management involves reviewing bank and credit card statements regularly to establish a baseline for normal activity. As a result, when unfamiliar vendors, duplicate charges, or unauthorized wire transfers appear, you will be aware of them and address them quickly.
Also, virtual mail management adds another layer of protection. Fraudulent IRS notices, Medicare scam letters, and phishing mailers can sit unopened for weeks. By consistently reviewing mail, you can catch red flags early.
Password management is another piece of the puzzle. Keeping login credentials organized, secure, and accessible only to authorized users protects financial and healthcare accounts from unauthorized access. A password manager like Proton Pass makes this simple — and it’s one of the tools we use in our own business.
For adult children managing a parent’s affairs from a distance, this kind of consistent oversight isn’t just helpful; it’s essential. It’s peace of mind.
✅ Take control of your financial security with this step-by-step checklist designed to protect your money, your identity, and your peace of mind – Scam-Proof Your Finances: Action Checklist
What to Do If You Suspect Financial Fraud for Older Adults
If something doesn’t look right, act quickly. Here’s what to do:
1. Contact the bank or financial institution immediately to freeze or flag the account. The sooner you call, the better the chance of stopping further losses.
2. Report to the FBI at ic3.gov — the Internet Crime Complaint Center handles internet-facilitated fraud and uses reports to identify patterns and pursue investigations.
3. File a report with the FTC at ReportFraud.ftc.gov — every report helps build the picture of how these schemes operate.
4. Contact your local FBI field office. In New Hampshire, that’s the Boston Division.
5. Call the AARP Fraud Watch Network Helpline at 1-877-908-3360. Free counseling is available to anyone — you don’t need to be an AARP member.
6. Reach out to a trusted advisor — an elder law attorney, financial advisor, or daily money manager can help sort out next steps and make sure the situation doesn’t get worse.
💰 A step-by-step guide to creating financial organization and security systems that protect you and your sensitive information – A Financial Fresh Start: Financial Organization and Security
Report fraud here:
- FBI IC3:ic3.gov
- FTC: ReportFraud.ftc.gov
- AARP Fraud Watch: 1-877-908-3360
Unfortunately, financial fraud targeting older adults is a serious and growing problem. However, it’s not unstoppable. Awareness, regular financial oversight, and knowing the warning signs make a real difference. If you’re concerned about a parent, a neighbor, or yourself, don’t wait for something to go wrong. Consistent oversight is the best protection there is. If you’d like to learn how True Assisting can help monitor finances, manage mail, and catch problems before they grow, we’d love to talk.
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