HOUSTON – Scams are divisive and draining. For seniors, they are even more upsetting.
The U.S. Department of Justice expanded its ‘Trans-national Elder Fraud Strike Force’ to combat scams originating overseas.
In 2022, the DOJ notified more than 550,000 people they might be eligible for remission payments.
Through the strike force, DOJ added 14 new U.S. Attorney’s Offices to combat scams targeting older adults.
Also in 2022, federal grand juries in the Southern District of Texas returned indictments in 10 cases involving more than 15 defendants all targeting older adults. Loss amounts totaled around $38 million.
Barbara Sanders lost her son earlier this year.
“‘Ms. Sanders, this is Jennifer at the ME’s office.’ I said, ‘ME’s office? Why is she calling me?’” Sanders tearfully explained. “She said, ‘Well, I have some bad news for you. She said, ‘I have your son.’”
Days later, another call. This time, a scam.
“Saying that they were from the electric company and they were saying my lights were going to be disconnected in one hour. I was crying, I was upset. He told me my light bill was behind three months and he needed $800 from being disconnected,” explained Sanders, who panicked and paid up. She transferred money through Zelle. Within minutes, she realized she was scammed.
“I told him, I said, ‘I am trying to bury my son.’ I said, ‘My son is sitting in the morgue as we speak, and you’re taking money from me.’ I am not looking for sympathy here, I messed up. We put pending on debit cards, and this and that, but why can’t a Zelle transaction be pending for two or three hours, because I caught it within an hour of being scammed.”
Sanders said she reported this scam to local and federal authorities, Chase, Zelle, and the Better Business Bureau.
Jennifer Salazar, the executive director of the Better Business Bureau Education Foundation.
“We see what these are called imposter scams, and they tend to be from the gas company or electric company and they are basically saying we are going to cut you off today,” Salazar said.
Salazar said scammers use a tactic called spoofing to change their name and phone number.
“They never take a holiday, they call you whenever they want, call from anywhere in the world, change the ID, make it look like anyone, they are after your money,” explained Sanders. “One of the reasons why they like to prey on the greatest generation of Americans, 65 and up is because they might not have much, but they do have benefits.”
Here are some tips to avoid falling victim to imposter scams:
- Prepaid debit cards, payment apps, and wire transfers are big red flags.
- Pressure to pay immediately.
- Hang up and call customer service.
- Never allow anyone into your home, unless they have a scheduled appointment.
“Take a deep breath,” is Sanders’ advice. “Just take a deep breath, Zach. Had I been calmer, that would never have happened to me.”
According to the FBI, last year, the total number of complaints received from victims 60 or older was close to 90,000. Monetary losses to elderly folks are rising at an alarming rate. The bureau says more than $3.1 billion were reported stolen in 2022.
While tech and customer support schemes continue to be the most common type of fraud reported by seniors, DOJ officials are pursuing cases against perpetrators of “grandparent schemes.”
These scams are when fraudsters, often someone overseas, contacts a senior citizen posing as a friend of a family member who is allegedly in jeopardy. They then demand money.
Investigators with Adult Protective Services said a lot of the scams they see are loved ones taking advantage of their elderly family members. They might be a trusted child or grandchild, even a caregiver.
According to APS, they fielded more than 17,000 cases in Texas last year, and 2,000 of them were in Houston.