Safe Banking for Seniors

Each year older Americans lose approximately $2.9 billion to fraud, but it is suspected that number is drastically underestimated because only one in 44 seniors report financial abuse.

The following tips are helpful for seniors and their financial caregivers to proactively protect themselves and their loved ones from fraud.

1. Know the warning signs of scams.  Scammers are always thinking of new ways to steal from seniors, but knowing the warning signs of scams will help stop fraud in its tracks.  Paying fees or taxes for sweepstakes or lottery “winnings”, acting immediately on an offer or insisting on secrecy are characteristics of some types of fraud. When in doubt, talk to a trusted advisor, family member or friend.
2. Protect your financial identity.  Some scammers are more interested in stealing financial identities to open new credit cards or loans in seniors’ names.  Shred receipts, bank statements and unused credit card offers before throwing them away. Never give personal information, including Social Security Number, account number or other financial information to anyone over the phone unless you initiated the call and the other party is trusted.
3. Choose a responsible financial caregiver. Sadly, family members and friends can also take advantage of seniors and leave them in financial ruin.  Plan ahead for the day that you may not be able to manage finances on your own.
4. Talk to your banker about options to ease financial caregiving responsibilities.  Banks offer a wide range of services to help seniors and financial caregivers manage finances in accordance with seniors’ needs and desires.

For more financial caregiver resources, visit the Consumer Resource section at aba.com.

Source: American Bankers Association