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Financial abuse inflicted upon older people is a problem that\u2019s growing in scope and severity rather than improving. This trend is likely to maintain as the population of the U.S. ages. <\/span><\/p>\n Many studies have looked at the specific reasons older adults are more likely to be vulnerable to financial abuse and scams than younger people. There was one study with 26 subjects that found 13 had been the target of financial scams<\/span><\/a> leading to loss of money. <\/span><\/p>\n Then, of those study participants, behavioral tests were administered looking at different areas of brain function like memory, personality, attention span, and mood. <\/span><\/p>\n Researchers also did MRIs on each study participant. <\/span><\/p>\n There were differences uncovered in the study participants who\u2019d been the victim of financial scams and those who hadn\u2019t. <\/span><\/p>\n For example, the MRI scans found differences in areas of the brain that could shed light on why some people are more vulnerable to financial scams as they age than others. <\/span><\/p>\n The following are things to know whether you\u2019re an older adult or you\u2019re concerned about your loved one being the victim of a financial scam or abuse. <\/span><\/p>\n Know the Different Types of Scams<\/span><\/p>\n Having an understanding of some of the different types of scams<\/span><\/a> that may target seniors is a good starting point to protect yourself or your loved one. <\/span><\/p>\n A few examples include:<\/span><\/p>\n Older adults lose an estimated $36 billion each year to fraud and scams<\/span><\/a>. <\/span><\/p>\n Beyond the overtly financial scams listed above, many scammers will try to take advantage of some of those things that can come with age, including loneliness. For example, romantic scams are increasingly common. <\/span><\/p>\n An older person might meet someone online, and that person might ask them for money to cover things like medical emergencies. <\/span><\/p>\n A topic that\u2019s especially relevant right now is scammers pretending to be the government and asking for personal or account information so they can send out economic relief or stimulus checks. The government won\u2019t ask you for personal information in those cases. <\/span><\/p>\n There is something called a grandparent scam in which criminals pretend to be the grandchild of the victim, and they claim that the child needs money right away to help with an emergency. Then, the idea is that the grandparent would wire money to help their grandchild. <\/span><\/p>\n Who Commits Elder Financial Abuse?<\/span><\/p>\n There are criminals who target older adults with scams, but perhaps even scarier than that is the fact that around two-thirds of financial crimes directed at older adults are carried out by people they trust including caretakers, family members, friends, and attorneys. <\/span><\/p>\n How Can Seniors Protect Themselves?<\/span><\/p>\n Having a social network is one of the best ways to protect yourself or to help your loved one stay protected from financial scams. <\/span><\/p>\n Everyone needs a social network they can rely on, but especially older people. The more isolated an older person is, the more likely it is that someone will take advantage of them. <\/span><\/p>\n When seniors stay socially engaged they have people to talk about different financial topics with, and that can then provide them with feedback that may help them recognize a scam. <\/span><\/p>\n If you\u2019re an older person, before you ever come to a point where you need it, you should go ahead and have a few people or at least one person that you do trust to help you with your finances when the time comes that you need that help. <\/span><\/p>\n You can create a power of attorney for the person, or set them as the successor trustee of your living trust. <\/span><\/p>\n When you have a team of people already in place that you trust<\/span><\/a>, it leaves fewer opportunities for someone to take advantage of you. <\/span><\/p>\n Other tips to protect yourself against financial scams or help your loved one do so include:<\/span><\/p>\n\n
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