Elder Financial Abuse

Financial abuse doesn't always come from strangers, in fact many older adults are victimized by: 

• Family members
• Friends
• Caregivers

This betrayal can be especially damaging because it often goes unnoticed until significant harm has occured. 
 

Elder financial abuse or exploitation occurs when someone takes or misuses money, property, or assets without permission through deception, coercion, or undue influence. It can involve family members, caregivers, professionals, or strangers and may happen with our without the victim's knowlege. Common forms of financial abuse include: 

• Stealing money or possessions
• Misusingfunds or "borrowing" with no intent to repay
• Forging legal documents 
• Selling or transferring property without consent
• Failing to provide goods or services that they have been paid for

Older adults are increasingly targeted by a range of common scams that exploit their trust, routines, and financial stability. Understanding how they operate, and the steps you can take to avoid them is the first step in protecting your money and information. Some of the most common are listed below. 

Imposter Scams
Somone reaches out claiming to be a representative from a legitimate business or government agency, like the IRS, Social Security, Police, utility company, etc. They claim you or owed or owe money, have an unpaid bill or outstanding warrant and they demand money, account information, or other personal information. They will often request payment via gift card, wire transfer, or cryptocurrency since these funds are fast, difficult to trace, and nearly impossible to reverse.  
Tip: Never send money to or share account information with anyone without verifying the request directly from the source. Government agencies and reputable businesses will not demand payment via gift card, wire transfer, or crypto. If someone is pressuring or threatening you do not respond and contact the organization using a verified phone number from their official website. 

Tech Support Scams
Criminals pretend to be computer/software support, often claiming to represent companies like Microsoft, Apple, or an internet provider. Their goal is to trick you into giving them access to your computer or money to fix a problem. They use urgent language and fear to prompt a quick response. 
Tip: If you get an unsolicited message or pop up do not click any links or call the number on the message. Restart your computer and contact your software provider directly. 

Charity Scams
Fraudsters create fake charities, often surrounding disasters. They pressure you to give quickly and often do not have many details on the organization or how the funds will be used. 
Tip: Donate through a trusted source or check the charity's reviews through Google, charitynavigator.org, or charitywatch.org BEFORE giving. 

Grandparent Scam 
Scammers impersonate a grandchild or someone calling on their behalf. They claim to be in trouble and beg you not to tell anyone, especially mom or dad. 
Tip: Call grandkids or another family member to confirm. Ask a question that only they would know or say something that's not true to verify. 

Romance Scam
Perpetrators entice the victim with companionship and "love". They build an online relationship and try to get close. Once they have gained trust, they begin asking for money so they can visit, pay bills, or help you earn more through a great investment opportunity. 
Tip: Be wary of new "friends" and never share financial information with someone that is not a close friend or family member, especially if you have not met in person. 

Investment Scams
Scammers promise high returns with low risk. They often pressure you to act quickly, provide few details, and they will ask you not to tell others about the so called "opportunity". Common types include:

• Crypto or Forex (Foreign Exchange): Scammers lure investors with fake platforms and promises of guaranteed returns
• Advance-Fee: Victims are told they must pay an upfront fee in order to "get in on" a great investment fund or business opportunity
• Pyramid Schemes: Investors earn money by recruiting others, not from actual profits from the original investment
• Pump-and dumps: Fraudsters promote a low-cost stock to inflate the price (pump), then they sell their shares at a profit (dump) leaving others to absorb the loss. 

Tip: Invest with a reputable brokerage service only. Use FINRA's Broker Check tool or the SEC's Investment Advisor Public Disclosure BEFORE you invest. Avoid deals that sound too good to be true. Never invest money you cannot afford to lose. 

Medical Scams
Medical scams, fake prescriptions, and Medicare scams target older adults by exploiting their trust in healthcare providers, their need for medical equipment or medication, and their reliance on Medicare. These schemes can lead to financial loss, identity theft, and even serious health risks. Scammers often use official‑sounding language, fake credentials, or high‑pressure tactics to trick victims into sharing personal information or paying for products they don’t need or never receive. 
Tip: Consult your doctor before committing to any medical devices or treatments. Purchase prescriptions from a licensed pharmacy. Verify all charges on your Medicare statements. 

Staying in frequent contact is one of the most effective ways to protect the older adults in your life. Regular conversations, whether by phone, video call, or in person can help you spot changes in mood, behavior, or daily routines that may signal something is wrong. 

Look for warning signs like changes in: 

Behavior

• Depression, anxiety, confusion, or withdrawal
• Attempts to limit or cut off communication with loved ones
• Significant changes in daily routines or social engagement

Appearance

• Unkempt appearance or decline in personal grooming
• Unexplained bruising or injuries
• Poor hygiene or signs of neglect

Spending

• Unusual purchases or withdrawals
• Sudden account changes, such as new joint owners or authorized users
• Unpaid bills, new wire transfers, or unexpected financial activity

Possessions

• Missing valuables, personal items or medications
• Lack of necessary medical or care supplies, despite adequate financial resources

Being proactive is the best defense against elder financial abuse and exploitation. An older adult can reduce risk by involving a trusted friend or family member who can help monitor finances, property, and overall well‑being. Taking preventive steps early makes it easier to spot concerns and intervene before harm occurs.

Prevention Tips 

• Add a trusted friend or family member to financial accounts to help manage bills and monitor account activity

• Enroll in their financial institution's trusted contact program, if offered

• Utilize a safety deposit box for expensive jewelry and other valuables

• Safeguard personal information to reduce the risk of identity theft or misuse 

• Establish legal documents such as a Will, Trust, Power of Attorney or Medical Directive

• Monitor accounts regularly for unusual activity

If You Supsect Abuse

• Document incidents with written notes or videos, include dates and be a specific as possible

• Contact Adult Protective Services, local law enforcement, or 911 in an emergency

• Visit the U.S. Department of Justice's Elder Justice Initiative at justice.gov/elderjustice

For Those in a Position of Responsibility 
Regular contact is one of the strongest protective factors. Check in often to observe: 

• Living conditions and appearance

• Finances and bills

• With Caregivers to confirm care, discuss changes, and ensure needs are being met

• New relationships that may influence decisions or spending

For additional information please visit: 
U.S Department of Justice Elder Justice Initiative (833-372-8311 National Elder Fraud Hotline) 
National Council on Aging
Consumer Financial Protection Bureau
VA Adult Protective Services (VA APS Hotline 888-832-3858)
UVACCU Fraud Resource Center