Many senior citizens are most likely to have a nest egg, own their home and have excellent credit. According to the FBI’s “Fraud Target Site” this financial stability and a number of other characteristics make this portion of the population attractive targets for fraud.
Kelsey Sykes lives in Richmond, Virginia. She is from Murray, Kentucky, where her grandparents still reside. Out of the blue, Kelsey received a call from her grandfather.
“I get the call, and my grandfather is like are you okay? We were called and told that there was a police officer on the phone, and then proceeded to say your granddaughter, Kelsey, they named me by my name, has been in an accident and she has hit someone, and it gets worse, not only has she been in this accident but her car has been searched and she had narcotics and has been taken to the police station and requires $10,000 bail.” Sykes said.
Fortunately Sykes' grandfather was home, if not, Sykes believes her grandmother would have wired money without hesitation. And most often, that is the case.
Victimization of the elderly can happen easiest as perpetrators on the other end of the line create scenarios utilizing personal information. Sykes' grandfather did the right thing, he called her first to confirm the story. Sykes was outraged that this would happen to her family and called the local police and was informed there was nothing that could be done.
Office of the Attorney General Consumer Protection Division Lori Farris says that people can do everything right and still be a victim. Farris says her office is available as a resource for concerned citizens, not an investigative unit. She says her office receives at least 3 to 4 calls a day and scams like Sykes' grandparents encountered are all too common.
“That call has been very effective because what scammers want to do is make us react emotionally instead of rationally and they are experts at it, we call them masters of persuasion.” Farris said.
According to Farris, there is so much personal information available on the internet.When scammers utilize that against their victims, unfortunately they are often out of state.
“That’s why I think so many law enforcement feel so frustrated because they want to help their constituents there, but you know the perpetrator may be elsewhere.” Farris said.
Most police departments keep a list of reported scams. The Christian county Sheriff’s Office lists a bank scam where customers are sent a text message claiming their account has been locked. There is the “IRS Scam” the “Court Scam” and the “Utility Company Scam” where the caller states the account is delinquent and must pay immediately. Pat Pugh, says she has heard them all.
Pugh is from Hopkinsville and is attending a Scam Jam session sponsored by the Kentucky Department of Financial Institutions.
“We still get phone calls and everything and I’ve gotten where I’ve been so mad at them I would hang up really hard. So now I have it on the answering machine, if they don’t want to talk on the answering machine they don’t want to talk to me.” Pugh said.
Pugh is sitting among 80 plus elderly who have come to the workshop to prevent themselves from becoming another statistic.
Kelly May coordinates the Scam Jam sessions and is with the Kentucky Department of Financial institutions. This is her 20th workshop.
“No matter if its investment fraud or mail fraud or a sweepstakes or a lottery fraud or identity theft, they are all about gaining your trust and they are all about making you play a part.” May said.
May says there is a real difference between a white collar crime, like financial fraud and a regular crime.
“Somebody breaks into your house, you probably weren’t home for that, and you come back and you see the damage and you know your things are gone and you feel devastated. With financial crime you actually have to participate. And as devastating as that burglary would be, financial crime is even more so because there is that feeling that you were duped.” May said.
The take home message for the participants was pretty simple, if it is too good to be true, it probably is.
Still, prosecuting financial crime and fraud is seemingly more complicated than it should be. We explore a battle for restitution of more than $30 thousand dollars allegedly taken by a home health provider in our next edition.
HOW TO AVOID SCAMS: 4 Easy Steps
1. End Calls
- Register on the Do Not Call List
- www.donotcall.gov or 888-382-1222
2. Just say NO
- Have a refusal script/plan to get off the phone
- Have a buddy to help get out of high-pressure situations
3. Cool Off
- Take your time/wait before buying
- Don't trust testimonials and beware of investment "hot tips"
4. Check it out
- Do your homework before signing any contract
- Get it in writing and read the fine print
- Check out the source and check references
- Provide complete and accurate information
- Know your right to cancel
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