Safe Banking for Seniors
02/21/2024
Safe Banking for Seniors
Safe banking for seniors does not only mean protection against scams, but also includes being aware of other forms of financial exploitation. The financial world moves incredibly quickly; however, there are several general tips for older adults to follow to keep their money safe.
What to Look Out For
One part of preventing scams is simply knowing what to look out for. A new scam is born every day, and consumers need to be armed preemptively against them. Here is a list of red flags seniors should look out for:
Communications Out of the Blue: Most legitimate companies will only reach out to you after you have initiated contact. Any communication that is not in response to an action on your part should be considered suspicious.
Calls for Immediate or Urgent Action: Creating a sense of immediacy or urgency is an extremely common tactic of scammers and should always be seen as a red flag. Even if someone calls who sounds like a friend or family member, if they ask you to send money, you should think twice.
Too Good to Be True Offers: From art scams to real estate scams to lottery scams and everything in between, older adults are often faced with ‘too good to be true’ offers from those with nefarious intentions. Oftentimes these offers even acknowledge they sound too good to be true to gain the victim’s trust. In fact, these offers are often advertised as “limited time” to create the sense of urgency we previously discussed.
Abusive Demeanor: Most people who are trying to financially exploit you will resort to anger and intimidation if their other tactics do not work. If you reject someone’s offer and they begin insulting or yelling at you, it is a major red flag that this person is trying to exploit you.
Who to Look Out For
Unfortunately, financial exploitation can come from anyone in a person’s life. Strangers, family members, caregivers, friends, and even financial advisors can all be financial abusers to older adults. It is important to note that it is never the fault of the victim. No matter what the situation is, there are resources available to help.
Here are some warning signs that someone may be exploitative:
- Secrecy regarding your finances or the full terms and conditions of an offer
- Taking complete control of your finances and not asking your permission for transactions
- Pressuring you to do something you are not comfortable with
- Does not use your money for a previously agreed purposes
What to Do…
If you are in a situation where someone is asking you for money, always stop, hang up, and verify. If you are on the phone or chatting online with someone who is exhibiting any of the aforementioned behaviors, the best thing you can do is stop all contact with them and reach the company or person at a trusted number. If you believe you have been in contact with a scammer, call your bank and speak with them about next steps.
If you are in a situation where you believe someone close to you is being financially exploitative, it is extremely important to report them safely. Contact the police or Adult Protective Services from a phone or computer that is not monitored. They can provide resources and guidance after the behavior is reported.
Financial exploitation can be a serious problem for older adults. While it may be hard for the average consumer to keep up with the latest in financial exploitation, general tips and tricks can help prevent you from falling victim to criminals.
Sources:
https://www.fdic.gov/resources/consumers/money-smart/teach-money-smart/money-smart-for-older-adults.html