The FBI reports that elder fraud complaints and losses are growing in the U.S.
According to its 2023 Elder Fraud Report, losses reported to the FBI's Internet Crime Complaint Center by those over age 60 topped $3.4 billion, nearly 11% more than in 2022. Complaints filed by elderly victims increased 14 percent.
Here in Maine, the FBI reported nearly 400 complaints with losses of more than $7 million dollars last year.
Maine Attorney General Aaron Frey said the top scams his Consumer Protection Division sees involve home construction, people impersonating family or the government, and appliance and auto sales.
Frey said seniors are targeted because they often have a nest egg of savings, positive credit, and are trusting, and some have lost their life savings to scammers.
"It is always so important on the front end to do everything you can to make sure you're entering a relationship with someone you can trust who you have confidence will perform the service you want them to perform," Frey said. "It's always easier before the money goes out the door to control what happens than it is after the fact trying to get that back."
Frey said to research contractors before hiring them, and home projects over $3,000 should have a written contract that could be prosecuted under the Home Construction Contract Act.
He said state law offers implied warranties for appliance purchases, and the Consumer Protection Division has a free mediation service to help consumers understand their rights and find resolution with a business.
The Attorney General said consumers can also protect themselves by limiting information in the public domain, for example, on Facebook. Don't post your birthday and family names. If a caller's phone number isn't familiar to you don't answer it. If an email looks unfamiliar don't open it.
If you find that you've been scammed, Frey said, to report it as soon as possible to the Consumer Protection Division, your bank, and law enforcement, so an attempt can be made to stop a transfer of funds.
Jane Margesson, spokesperson for AARP Maine, said the pandemic fueled the increase in scams because we do more online now and it increases our susceptibility.
"Everybody should place a freeze on their credit report and you have to do it with all 3 agencies, Experion, Equifax and Transunion. But once you put a freeze on your credit report, even if your social security number or other sensitive information was stolen, having that freeze in place can greatly limit the damage from that theft," she said.
Margesson said it's also important to consistently review credit card and bank statements for transactions that don't look right, update passwords regularly, and don't open unexpected email attachments.
She said there has been an increase in scams involving online shopping, work from home, package delivery, and online banking.
Read the FBI 2023 Elder Fraud Report here.
The Attorney General Consumer Protection Division.
Helpline: 1-877-908-3360
AARP hosts a free monthly virtual call to review topical scams and answer questions. The next one is Thursday, May 9. Learn more here.