Title: Current Scams Swindling Our Seniors
1Have I Got a Deal for YOU!
- Current Scams Swindling Our Seniors
- How to spot them
- How they work
- How to avoid them
- How to assist your victims
2 CURRENT SCAMS
- 1. Phone Scams
- 2. Sweepstakes/Lotteries
-
- 3. Charities
- 4. Internet Mail Scams
3Phone ScamsSaving Money
- Hi, this is Rachel. I have a very important
message about your credit card. To reduce your
credit card interest rate, please press one. - Caller indicates he can reduce your current rate
to an attractive LOW percentage. - You could be signing up for a debt consolidation
service. - Or youve just given your credit card number to a
scammer.
4Phone ScamsSecurity Breach
- This is your credit card security company and we
believe that your credit card has been
compromised. - Caller indicates there has been an unauthorized
purchase on your card. She asks for
verification that you are in possession of your
card and requests security code.
5Phone ScamsMedicare Benefits
- Due to Obamas health care package your Medicare
benefits may change. Youll need to lock in
current rates now before they go up - Caller is trying to obtain credit card and
personal information to secure benefits. - Scammers love whats hot in the news!
6Phone ScamsDirect Deposit
- This is the IRS ( or Social Security) and we are
having problems direct depositing your refund (or
social security) check. - Caller is trying to obtain personal information
to make unauthorized withdrawals. (BEWARE of
these calls after tax season and during open
enrollment for Medicare prescription plans).
Green Dot card transactions are being used to
steal SS check.
7Phone ScamsGovernment Grant
- Congratulations, since you paid your taxes on
time, you qualify for a guaranteed government
grant. - Caller tries to obtain bank account information
and will withdraw funds to pay for a packet of
worthless grant information. - Or they will require you to wire money to an
unknown contact for fees before you receive
funds.
8(No Transcript)
9Phone ScamGrandparent Scam
- Grandma/Grandpa, do you know who this is? I
need help. I am traveling in Mexico and was
involved in a traffic violation and need money
wired to pay the fine. Dont tell mom and dad. - Actually, caller makes grandparent believe it is
grandson/daughter and instructs the grandparent
to wire money.
10Phone ScamPersonal Security Device
- Caller indicates that family member has ordered
and paid for personal alarm device, but wont
reveal which family member. - Senior is unknowingly charged a monthly fee for a
monitoring service.
11 Phone Scam Security Survey
- Caller claims to be with a security company and
is conducting a home security survey. - Caller inquires about security features in your
home, number of doors, etc. - Indicates youve won a free security system.
- Actually, caller may trick you into an install OR
may use the information to break into your home.
12Phone Scam? Political Survey
- Caller indicates you win a free cruise for
participating in a political survey. - After a series of questions, you then qualify for
a free cruise and are transferred to a sales
agent who asks for your credit card info to pay
fees! - A new way for telemarketers to attempt to skirt
the law? (Political surveys are exempt from no
call law).
13Phone Scam?Diabetic Supplies Call
- You are contacted by a company stating you can
obtain free diabetic supplies or monitor. - Company asks for your Medicare number and
doctors information. - Claims bill will be paid by Medicare.
- You may be charged if the company is not a
Medicare approved provider, or the company may be
a scammer who now has your personal information.
14Sweepstakes/Lotteries
- Seniors who respond to phone calls or postcards
saying that they have won money or prizes. - BEWARE
15Sweepstakes and Lotteries
- The Office of Consumer Protection receives about
4-5 calls per day regarding sweepstakes. Some
even claim to be PCH, Readers Digest, or Mega
Million lottery representatives. - 2-3 Victims per week.
- Initial money lost ranges from 1,800 - 5,600
and escalates as victim is pursued. - Target Senior Citizens and others
16Sweepstakes The Gimmick
- You have won the foreign sweepstakes usually
from Canada, Spain, Jamaica, Las Vegas, etc. - The caller claims to be a US Customs agent, IRS
agent or other official. - You need to send money for duty taxes, fees,
insurance or other reasons in order to claim your
prize. Often victims are provided a check to pay
these fees.
17Sweepstakes - The Gimmick contd
- You must deposit the check and wire the money to
the promoter. - When you do, the bank calls to tell you the check
is no good, and you are responsible for repaying
the bank! - YOU HAVE BEEN SCAMMED!
- Note Many family members notice sweepstakes
participation and uncharacteristic spending
patterns by senior as first sign that something
may be wrong.
18Sweepstakes - Other Gimmicks
- Scammers ask that victims purchase a Green Dot
card (moneypak.com). It is a pre-paid type
card and operates just like cash. - The card can be depleted instantly by the scammer
through the Green Dot system, placed on another
pre-paid card, transferred to a PayPal account
for internet purchases, or make payments on the
scammers accounts. - Cannot be traced.
19More Sweepstakes Gimmicks
- Scammer changes home phone number of senior so
only the scammer can talk to senior. - Scammer provides cell phone to senior and asks
that senior keep it a secret. - If senior doesnt drive, scammer sends taxi to
seniors home to transport senior to the bank and
wiring transfer service to send money.
20More Sweepstakes Gimmicks
- When senior depletes resources, scammer talks
senior into borrowing from friends and family or
obtaining a home loan or reverse mortgage. - Senior is shamed or threatened to continue to
send money.
21How to Help Protect Seniors from Scams
- Encourage them never to respond to sweepstakes
notices/phone calls ESPECIALLY if asked to send
money. - If asked to send money, the sweepstakes is
ILLEGAL. - ALL foreign lotteries and sweepstakes are ILLEGAL.
22How to Help Protect Seniors from Scams
- Advise that they
- never give personal information to unsolicited
callers. - never engage in conversation with callers, they
may believe what they say. - never order anything to increase their chances of
winning. - NEVER send money it IS ILLEGAL. Their names
will be placed on a sucker list and sold to
other scammers.
23Fraudulent Telemarketers
- Telemarketing fraud is a crime and should be
reported. Victims shouldnt be ashamed or
embarrassed. A report could assist the Office in
prosecuting the fraudulent telemarketer and help
others avoid being victimized. -
- Call toll free 1-866-877-7867 to report
telemarketers. - Also contact the Federal Trade Commission at
1-877-382-4357.
24Telemarketers
- To add your residential and/or cell phone, call
the National Do Not Call Registry, call - 1-888-382-1222 or register online at
www.donotcall.gov - Note Scammers do not abide by the federal no
call list. - Scammers also spoof caller IDs and use
untraceable phone numbers and cell phones. (One
can purchase a phone app for as little as 99
cents to spoof).
25Other Phone CallsCharitable Solicitations
- All charitable solicitors must register in the
Attorney Generals Office. - BY LAW, you must be told the name of the
solicitor, for whom they work, and for which
charity they are soliciting. - IF YOU ASK, they must tell you what percentage of
your dollar goes to the cause.
26Charitable Solicitations Examples
6-6-13Projected funds to charities currently
registered
- American Lung Assoc. 2
- Save the Children Federation 1 to 2
- KY Firefighters Assoc., Inc. 15
- Cancer Fund of America 10 to 20
- KY State Police Professional Assoc. 12 to 32
- Feed the Children, Inc. 1 to 10
- Veterans of Foreign Wars, Dept. of KY 20
27 Charities Beware
- Beware of sound alike charities.
- Ask questions. Ask that material be sent to your
home for your review BEFORE you commit to a
contribution. Ask about what of your
contribution will reach the charity. By law they
MUST tell you. - Realize that you can donate locally to a cause
without going through the solicitor. - Research the charity with the BBB or the Attorney
Generals Office.
28 Charities Beware
- Advise your loved ones
- You DONT have to pay for the stick-on mailing
labels, the calendars, the cards, etc. sent by
charities asking for a donation. - Dont give to every charity that calls. Do your
research before you give, and give wisely. - Practice Ive already budgeted my dollars this
year, but if youll send me some information, I
will consider you for next year.
29Popular Internet ScamsMystery Shopper
- The senior receives an email (or mail)
congratulating him/her for being selected as a
mystery shopper candidate. - The senior receives a cashiers check to deposit
into his/her bank account to use for the
assignment. - The senior is instructed to wire money through
Western Union or Money Gram to evaluate their
customer service. As payment for the
assignment, the senior keeps a portion of the
check. - The check is counterfeit and the senior has to
repay bank!
30Popular Internet ScamWork at Home Plans
- Senior is selected to serve as a processing
agent for a foreign marketer. - Senior receives money orders and cashiers checks
to deposit into his/her account. - Senior is instructed to wire money to the foreign
employer for transactions he has made in the
US. - Checks/money orders are counterfeit and the
senior victim owes the bank!
31Popular Internet Scams
- Bogus responses or postings on Craigs List.
- Beware of social networking sites and dating
sites. (Recent victim lost 200,000 as the
result of social networking contact). - Bogus emails requesting money.
32Behaviors Common to Victims
- Secretive or referencing something big is going
to happen soon. - Unexplained missing money or charges to accounts
uncharacteristic of senior. - Excessive junk mail, collection of worthless
trinkets ordered, items unable to be used by
senior. - New friendships by phone or other persons unknown
to senior.
33More Behaviors Common to Victims
- Irritability when asked about items purchased or
money spent. - Isolation from family and friends.
- Borrowing money from neighbors or friends which
is uncharacteristic of senior. - Senior suddenly cant afford normal purchases.
- Wire service receipts in the home.
- Secretive phone conversations.
34Working with Victims of Scams
- Be patient, calm and understanding. They may be
embarrassed and ashamed. - Do not blame. Let them know they are not alone
and that the scammers are experts. - Suggest that a family member/trusted friend sort
through mail before senior has access. Some
families do this without the knowledge of senior. - Suggest to family that they obtain a PO Box for
senior.
35Working with Victims of Scams
- Suggest family change phone number of victim if
necessary. - Warn of 876 area code - Jamaica!
- Explain to the senior the dangers of speaking to
strangers on the phone. - Suggest House Policy NO personal information
given to unsolicited callers and NO commitments
made by phone. All requests for money OR
personal info must be made by mail so it can be
researched first.
36Working with Victims of Scams
- Some fraud experts indicate that money sent to
scammers is being used to support terroristic
activities. Let senior know this. - Recommend to senior to place phone number on the
no-call list. (Be aware that scammers dont
abide by this.) - If family or law enforcement is unable to get
through to victim, suggest that a trusted family
member, friends, minister, etc. speak with
senior.
37Working with Victims of Scams
- If problems with sending money persist, suggest
that family members write to the wiring service
to request that no more transactions be allowed
by victim. - Suggest family contact a bank representative to
discuss ways to protect seniors assets. - Senior may need to be evaluated by doctor for
uncharacteristic behavior. APS may help. - Family may consider emergency guardianship as an
option.
38Working with Victims of Scams
- Western Union Contacts
- To report fraud 1-800-448-1492
- To block future transactions by senior, write
letter to Western Union, Attn Security
Dept., PO Box 4430, Bridgetown, MO 63044 - Fax to 1-888-690-2028
- (Include name, address of senior, what type of
fraud, calls, number of transactions sent, MTCN
s and amounts, etc.)
39Working with Victims of Scams
- To report fraud to MoneyGram call
- 1-800-MONEYGRAM (666-3947)
- (option 7) then press 5
40Extreme Victim Examples
- Some families have reported
- Loans taken against seniors home.
- Annuities cashed and money spent.
- Savings depleted and sent to scammer.
- Pawn shops being used to obtain quick cash.
- Victim left homeless.
- After family changes victims phone number,
scammer sends a taxi to the seniors home in an
extreme measure to contact them. Scammer
maintains contact with driver by cell phone and
eventually speaks with senior.
41Other Helpful Contacts
- Office of the Attorney General
- 888-432-9257
- Federal Trade Commission 877-382-4357
- Postal Inspection Service 877-876-2455 opt. 4
- Internet Crime Complaint Center www.ic3.gov
(to report internet crimes). - Adult Protective Services (for financial
exploitation) - The Direct Marketing Association www.thedma.org
- (to manage mail preferences)
42Medicaid Fraud and Abuse Control Unit
- Investigates incidents of patient abuse when the
abuse occurs at a Medicaid facility - Investigators can assist other agencies or can
answer questions - Hotline 1-877-ABUSE-TIP
43Mandatory Reporting Requirement
- KY is a mandatory reporting state
- KRS 209.030
- Any person who has reasonable cause to suspect
that an adult has suffered abuse, neglect, or
exploitation, shall report the suspected abuse,
neglect, or exploitation to the Cabinet. - Violations can be a Class B Misdemeanor
- Cabinets hotline - 1-800-752-6200
44- QUESTIONS?
- Lori Farris
- Mediation and Senior Protection Branch Manager
- KY Attorney Generals Office of Consumer
Protection - 502-696-5394 or 502-696-5300
- lori.farris_at_ag.ky.gov