Most of us wonder how anyone could be so callous as to cheat a senior citizen out of their life savings. Unfortunately, there are plenty of unscrupulous people who would do just that.
If you have elderly parents, you likely worry about them and wonder how you can protect their nest egg.
Scams are becoming more sophisticated
The speed at which technology is evolving is mind-boggling, and even the most tech-savvy among us are likely having a difficult time keeping up with the changes. You can likely imagine that it’s even more difficult for elderly people who may not have even had a television in their homes when they were children.
That is one of the reasons why scammers set their sights on older adults. In addition to being unfamiliar with the digital age, senior citizens are likely to have significant savings and retirement funds and own their homes. In addition, their children and grandchildren may live some distance away, making them lonely and thus more vulnerable.
While some scams are new, most are just updated, technological versions of the type that have been used throughout the ages, such as:
- Technicians claiming there’s a problem with the victim’s computer or internet service, and requesting payment to “fix” the issue
- Con artists pretending to be family members, law enforcement or IRS agents to extract money
- The lottery scam where the victim has won a large prize, but must pay fees to claim it
- Fake romance scams designed to manipulate seniors into sending money or gift cards
Many times, seniors are reluctant to let their children know they’ve been scammed. Assure your parents that con artists are sophisticated and even knowledgeable people have been duped. They should feel free to come to you, and you can resolve the situation together.
The first line of defense for protecting your elderly parents from scammers is educating them about the various scams. Tell them to be skeptical of unsolicited requests for money or personal information, or pressure tactics urging them to act quickly.
If you haven’t done so already, consider discussing estate planning with your parents and the concept of asset protection. Placing assets in a revocable trust passes them into the care of a trustee. A power of attorney (POA) is another useful tool that allows someone they trust to make financial decisions for them if they no longer have the capacity to do so. With education and asset protection, you can help keep your parents safe from the unethical people of this world.
