Scams targeting seniors on the rise

Fraud targeting senior citizens and their caregivers is a growing concern as thousands have fallen victim to scammers. As of Aug. 1, the Better Business Bureau serving Central, Coastal and Southwest Texas reports an 11 percent increase in complaints from seniors compared to 2009.

“Unfortunately, senior citizens continue to be a heavily targeted demographic by scammers,” said Carrie A. Hurt, president and CEO of the BBB serving Central, Coastal and Southwest Texas. “They are generally more trusting of others and are in a more stable financial situation.”

Four Common Scams Against Seniors:

1) Sweepstakes and Lottery Scams – Seniors receive a letter in the mail stating they won a lottery or sweepstakes. They are requested to deposit an enclosed check and wire a portion back to the company to cover taxes or administrative fees. The check will initially clear, but the money will be removed when the bank determines the check is fake. The victim is out any money wired back to the scammers.

BBB Advice: Consumers are not required to send money for lottery or sweepstakes winnings. Participation in a foreign lottery is illegal.

2) Medicare Scams – Scammers call claiming to be with Medicare and state an error needs to be fixed, the consumer is eligible to receive free products or is eligible for a new prescription drug plan. The scammer asks for personal information such as Medicare, social security, credit card or bank account numbers.

BBB Advice: Medicare will never call to ask for personal financial information. Seniors who are asked for this information should contact their local police or the Health and Human Services Office of Inspector General at 800-HHS-TIPS.

3) Distressed Loved Ones – Victims receive a phone call from someone claiming to be a family member stranded far from home. They never identify themselves by name and ask the victim to wire money for transportation or a hotel room.

BBB Advice: Never wire money to someone you don’t know. Call other family members to verify the story is false.

4) Deceptive Professionals – Door-to-door contractors, repairmen and other technicians offer to provide free inspections of the victim’s home and claim a problem or safety issue was found. Consumers who agree to have work done face severely inflated prices or are required to pay in advance for work that may never be completed.

BBB Advice: Avoid upfront fees and high pressure sales tactics. Take the time to research the company with BBB, get all service agreements in writing and pay only for work that is completed.

Article courtesy of the BBB serving Central, Coastal and Southwest Texas.