Fraud targeting older adults is one of the most prevalent and damaging forms of financial crime in the United States. The FBI estimates that seniors lose billions of dollars to fraud each year, and the actual figure is likely higher since many cases go unreported out of embarrassment or confusion. Protecting elderly family members requires ongoing conversations, practical safeguards, and an understanding of how these schemes actually work.

The Most Common Scams Targeting Seniors

Grandparent Scams

A caller claims to be a grandchild in trouble, typically saying they have been arrested, are in a hospital, or are stranded abroad. They beg the older adult not to tell other family members and ask for money wired or sent via gift cards immediately. The urgency and emotional manipulation are deliberate.

Government Impersonation Scams

Fraudsters pose as IRS agents, Social Security Administration representatives, or Medicare officials. They claim there is a problem with the senior’s account, that they owe back taxes, or that their benefits are at risk. Real government agencies do not call unexpectedly and demand immediate payment.

Tech Support Scams

A pop-up message or phone call warns the senior that their computer has a virus. The caller asks for remote access to fix the problem, then uses that access to steal financial information or install actual malware. Microsoft, Apple, and similar companies do not make unsolicited calls about device problems.

Romance Scams

Fraudsters build online relationships over weeks or months before requesting money for an emergency, travel costs, or a business opportunity. These scams are particularly damaging because they involve emotional manipulation alongside financial loss.

Lottery and Prize Scams

The senior is told they have won a prize but must pay taxes or fees upfront to claim it. No legitimate lottery requires payment before releasing winnings.

Practical Steps to Protect Your Family Member

Have Direct and Ongoing Conversations

The most effective protection is an open relationship where your family member feels comfortable telling you about suspicious contacts without fear of judgment or having their independence questioned. Frame conversations around sharing information rather than issuing warnings. Ask about calls or messages they have received recently and make it a regular topic rather than a one-time lecture.

Set Up Financial Safeguards

Consider the following practical financial protections:

• Set up low balance alerts and transaction notifications on bank accounts
• Add a trusted contact person to brokerage and investment accounts, which allows the institution to reach a designated family member if suspicious activity is flagged without giving that person access to the funds
• Ask the bank about voluntary daily spending limits on debit cards
• Review account statements together on a regular schedule

Limit Gift Card and Wire Transfer Vulnerability

Explain clearly that no legitimate organisation, government agency, or family member in an emergency will ever ask for payment via gift card. Wire transfers and gift cards are the payment methods of choice for fraudsters because they are nearly impossible to reverse. If your family member is ever told to pay using these methods, that instruction alone is the scam.

Manage Unsolicited Contact

Help your family member set up call-blocking features on their phone. The National Do Not Call Registry at donotcall.gov reduces legitimate telemarketing but does not stop scammers. Apps with built-in carrier spam filters add an additional layer of screening for suspicious numbers.

For email, set up spam filters and discuss the basic rule that legitimate institutions never ask for passwords, Social Security numbers, or financial details via email.

What to Do If Fraud Has Already Occurred

If you suspect your family member has been targeted or has already sent money, act quickly.

Contact their bank or financial institution immediately. Many institutions can freeze transactions or flag accounts if a scam is reported promptly. File a report with the FTC at reportfraud.ftc.gov and with the FBI’s Internet Crime Complaint Center at ic3.gov. If the fraud involved Social Security information, contact the Social Security Administration’s Office of the Inspector General.

Do not make your family member feel ashamed. These scams are sophisticated and deliberately exploit trust. Reassurance and practical next steps matter far more than assigning blame.

Resources Worth Bookmarking

The following organisations offer free resources and reporting tools specifically for elder fraud:

• AARP Fraud Watch Network at aarp.org/money/scams-fraud offers a helpline at 1-877-908-3360
• Elder Fraud Hotline run by the Department of Justice at 1-833-FRAUD-11
• FTC Consumer Information at consumer.ftc.gov covers current scam alerts and reporting tools

Staying informed about current scam tactics is one of the most practical things a family can do together.