In a joint effort to curb the incidence of elder fraud, the Consumer Financial Protection Bureau (CFPB – consumerfinance.gov) and the Federal Deposit Insurance Corporation (FDIC – fdic.gov) have released an online resource guide to help seniors and their caregivers recognize and avoid this crime. The guide is available at consumerfinance.gov.
The guide is intended to accomplish several goals. The first goal is to raise awareness about the signs of elder financial exploitation. The guide also discusses how to guard against identity theft and plan for the possible loss of the ability to manage finances. There are also tips on how to prepare financially for disasters and additional resources for money management advice.
Different types of fraud are discussed in the 55-page booklet. Some of the topics are specific to seniors, however, many of them are scams that can be used on people of any age. They include:
- Exploitation by an agent under Power of Attorney or person in a fiduciary relationship
- Theft of money or property, often by a caregiver or in-home helper
- Investment fraud and scams, including deceptive “free-lunch seminars” selling unnecessary or fraudulent financial services or products
- Lottery and sweepstakes scams
- Scams by telemarketers, mail offers or door-to-door salespersons
- Computer and Internet scams
- Identity theft
- Reverse mortgage fraud
- Contractor fraud and home improvement scams
In addition to the discussions of the various types of fraud, there are three activities in the guide, each targeted at a different type of fraud. The free guide promises to be a valuable resource for anyone interested in staying one step ahead of the scammers.
