#45 - Seniors Lost $83K on Average to Scams—Protect Yours
Reluctant Executor News
The average senior lost $83,000 to scams in 2024.
The total amount that all seniors lost to scams in 2024… $4.9 Billion.
That is $4.9 billion that did not go to a favorite charity.
It wasn't used to pay for a grandchild's wedding.
It wasn't a downpayment on a starter home.
It wasn't used for senior living expenses or medical bills.
It wasn't there to help pay for a funeral.
Protecting your parents from fraud can be one of the most difficult things to do. If you're not with them 24/7, they could easily click a link on a bogus text message, give in to a scam caller, or fall for countless other scams that target senior citizens.
What can you do to prevent your parents from falling for scams?
The first step is to make sure you talk to them about the different types of scams, especially ones that use technology. Let them know that if something sounds off, it probably is. If they are getting pressured to do something urgently, tell them to notify someone they trust before making any decisions.
Another tip is to be as transparent an open about finances as possible. If your parents are comfortable talking about finances, it's likely they will seek your advice before falling for a scam. Transparency can also mean periodically reviewing their bank statements with them. Big charges will stand out, but also note any frequent, abnormal small charges. Help your parents understand where their money is going, and confirm with them that all the transactions are for what they were intended.
Finally, you can work with your parents to place a credit lock, credit freeze, or fraud alert on their accounts. This is a good step if you're concerned about identify theft and that someone may open credit in their name. Each of the 3 types of restrictions have different benefits and potential costs, so research which one is best for your family. But all will put some type of alert on the credit account, which helps prevent unauthorized loans or credit.
Estate Organization
Knowing what bank transactions are normal is one way to help prevent your parents from fraud. So is knowing what accounts they have, and how each one is used. Reluctant Executor can help your family have these conversations and document your accounts with an Estate Organization service. We'll sit down with you and walk through all of the important information that your family should know, and explain why it's important. This 2-3 hour meeting allows you to set aside time to get this list created, and usually uncovers details about your parents' accounts that can help prevent fraudulent activity.
When you're ready to set aside time for this meeting, schedule a call with us.