Elder Fraud Scams: How Families Can Spot Them and Respond

The scale of the problem

The Federal Trade Commission (FTC) reported $2.4 billion in fraud losses reported by adults age 60 and older in 2024, up from about $600 million in 2020. These are reported losses, not a count of every dollar stolen. The FTC also notes that older adults are generally less likely than younger adults to report losing money to fraud, though some types of scams produce especially severe losses among older victims. Fraud is a risk across ages; shame and stereotypes make it harder to interrupt.

Recognize the pressure, not just the story

Impersonation: Someone claims to be from a bank, Medicare, Social Security, a utility, law enforcement, or a familiar business. They may say money is in danger and must be moved to a “safe” account. Real account details or a caller ID that looks official do not prove the call is legitimate.

Tech support: A pop-up or caller says a device or account has been compromised. They request remote access, a code, or payment to fix it. Stop and contact the company through a number or website you found independently.

Family emergency and relationship scams: A caller may mimic a relative in distress, while an online relationship may build trust over weeks before asking for money. Verify through another channel and agree on a family call-back habit. Genuine relationships can withstand a pause.

Investment, prize, and recovery pitches: Guaranteed returns, secrecy, an upfront fee to collect a prize, or a promise to recover money lost to a previous scam are strong warning signs. Scammers often return to people who have already paid. The FTC warns about recovery scams that demand more money or personal information.

The common thread is urgency plus an unusual payment or access request. Be especially skeptical of instructions to send cryptocurrency, buy gift cards, wire money, share a one-time code, or keep the conversation secret from family and the bank.

Build a pause-and-check routine together

Agree that anyone in the family may end an unexpected financial call without explaining why. Call the bank, agency, or relative using a saved number or the number on a statement—not the one supplied by the caller. Set account alerts for large transfers or new payees. Ask the bank or brokerage about a trusted contact who can be alerted to concerns; that role need not give the contact access to spend the account holder’s money.

Keep the relationship open. A parent who fears losing independence may hide a suspicious call or a loss. Try “These messages are designed to fool anyone; let’s check it together” instead of “How could you believe that?” The Financial Crimes Enforcement Network’s advisory describes transaction and behavior patterns that may signal exploitation, but one unusual transaction alone is not proof. Ask questions and involve the account holder.

If money or information was shared, act quickly

1. Stop contact. Do not send another payment, even if someone promises a refund.
2. Call the payment provider immediately. Tell the bank, card issuer, wire service, gift-card company, or crypto platform it was fraud and ask whether a transfer can be stopped or reversed. Keep receipts, messages, account details, and dates.
3. Secure accounts. Change passwords from a trusted device, turn on multifactor authentication, and ask the institution to review account access. If identity information was exposed, use IdentityTheft.gov for a recovery plan.
4. Report it. File at ReportFraud.ftc.gov; report internet-enabled crime to the FBI’s IC3. The National Elder Fraud Hotline at 833-FRAUD-11 can help older victims and families navigate reporting. For suspected exploitation by a caregiver or other person with access, contact local Adult Protective Services as well.

Reporting may not recover every loss, but early contact with the financial institution can matter. Save a case number and a written timeline so the person does not have to recount the event from scratch each time.

Protect autonomy while adding support

Loneliness, illness, grief, or changes in memory can affect how someone responds to an approach, but none of them means every older person lacks judgment. Mild cognitive impairment is also distinct from dementia and varies by person. If there are new difficulties managing bills or repeated losses, discuss a health evaluation and financial support plan without assuming a diagnosis. The CFPB’s financial caregiver guides explain the responsibilities attached to formal roles such as power of attorney.

The Retirefine takeaway: Scams succeed by creating a crisis and isolating the target. A calm pause, independent verification, and a family culture without blame are practical defenses. If a scam has already happened, begin with the financial institution and report it promptly.