Common Ways Fraudsters Scam the Elderly

Martha had always been careful with her money. At 78 years old, she prided herself on being independent and managing her finances wisely. But one morning, she received a call that shook her. The man on the other end claimed to be her grandson, panicked and in trouble. He needed money—quickly—to pay bail after a car accident. Worried and wanting to help, Martha rushed to withdraw the cash and send it through a wire transfer. It wasn’t until later, when she spoke to her real grandson, that she realized she had been scammed.

Martha’s story is just one of countless examples of how fraudsters exploit elderly individuals, using fear, urgency, and deception to trick them into financial loss.

Why Are the Elderly Prime Targets?

Scammers see elderly individuals as easy prey because they often:

• Trust others and may not suspect deceit.
• Live alone and don’t always have someone to consult before making financial decisions.
• Have savings or retirement funds that scammers want to steal.
• Aren’t as familiar with digital scams and evolving fraud tactics.

Elder Scams are Increasing

The numbers paint a troubling picture. The Federal Trade Commission (FTC) estimates that elderly Americans lost as high as $61.5 billion in 2023 to fraud. Additionally, the number of older adults reporting losses of $100,000 or more has increased more than threefold since 2020¹.

How Do Fraudsters Scam the Elderly?

Scammers use many tactics, but here are five of the most common:

• The Grandparent Scam
  • A scammer pretends to be a grandchild or other loved one in distress, claiming they need urgent financial help. They often ask for money through wire transfers, gift cards, or cryptocurrency.
• Tech Support Scams
  • The victim gets a phone call or pop-up warning claiming their computer has a virus. The scammer convinces them to provide remote access or pay for fake services. It’s worth noting that the FTC reports that adults 60 and older were more than five times as likely as adults aged 18 to 59 to report losing money to a tech support scam¹.
• Romance Scams
  • Fraudsters create fake online identities to build trust and emotionally manipulate elderly individuals into sending money, often under the guise of helping with medical bills or travel expenses.
• Medicare and Insurance Fraud
  • Scammers call, pretending to be from Medicare or an insurance company, and request personal information or payments for fake medical services.
• Sweepstakes and Lottery Scams
  • Victims are told they’ve won a prize but must first pay taxes or fees before they can claim their winnings. The prize, of course, never arrives.

Before You Withdraw or Transfer Money, STOP. THINK. ASK.

If anyone—whether on the phone, via email, or even at your door—asks you for money, pause and ask yourself these questions:

• Do I really know this person or company?
• Is there urgency or pressure to act immediately?
• Have I verified the situation with someone I trust?
• Did they ask me to keep this a secret? (A major red flag!)
• Does this involve gift cards, wire transfers, or cryptocurrency? (Scammers’ favorite methods.)

If you’re ever in doubt, don’t rush—scammers rely on panic and quick decisions. Take your time, talk to a trusted family member, and verify the details before acting.

Our Fraud Team Is Here for You

At Southside Bank, we take fraud prevention seriously. If you or a loved one suspect fraud, visit one of our local branches or call our customer care team at 877.639.3511. We’re here to help protect you and your financial future.

¹ https://www.ftc.gov/news-events/news/press-releases/2024/10/ftc-issues-annual-report-congress-agencys-actions-protect-older-adults