Identity Theft for Seniors: Learn To Recognize and Prevent Fraud
June 25, 2024
Identity theft is a serious problem that can affect anyone. Sadly, seniors are often prime targets. One in ten seniors falls victim to identity theft each year.[1] So, approximately 240,000 Indiana seniors could be victims of identity theft this year alone.
Learning how identity theft works and how to protect yourself or a loved one is crucial. In this guide, you'll find practical tips to keep your personal information safe.
How Does Identity Theft Work?
Identity theft happens when someone steals your personal information. This could be your Social Security number, credit card details, or other sensitive data. Thieves use this information to commit fraud, like opening new credit accounts or making unauthorized purchases.
Identity thieves may ask for information about credit cards, tax returns, medical records, or government benefits. In some cases, they may use alternative methods to access identifying details. They may steal account passwords or get the target to click through a link and voluntarily share them.
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Why Seniors Become Targets of Identity Theft
Seniors often become targets of identity theft for several reasons. First, they might be less familiar with digital security, making them easier to deceive. Most seniors didn't grow up with the internet and may not be aware of the latest scams or how to protect their information online. This can make them more vulnerable.
Plus, seniors may also have more savings and assets, which can be tempting for criminals.
Financial stability can make them prime targets for scams aimed at:
- Bank accounts.
- Investment portfolios.
- Retirement funds.
- Property deeds.
Moreover, seniors may be more likely to trust others, especially those who appear to be in positions of authority. Scammers often exploit this trust by pretending to be government officials, healthcare providers, or financial advisors.
Furthermore, some seniors might live alone and lack regular contact with others. Isolation can make it harder for them to verify suspicious communications or seek advice from family and friends. Without someone to discuss potential scams with, they may fall prey more easily.
Finally, cognitive decline can also play a role. As people age, they might experience memory issues or reduced cognitive function, making it more difficult to recognize and respond appropriately to scams.
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Senior Identity Theft Schemes
Identity thieves use several schemes to target seniors. Knowing what to watch for can help you stay vigilant.
Some of the typical identity theft schemes that target seniors are:
- Medicare Scams. Criminals pose as Medicare representatives and ask for personal information. They might say they need your details to issue a new card or to verify information.
- Phishing Emails. These emails look like they come from legitimate companies, asking you to update your information. Clicking on links in these emails can lead to identity theft.
- Phone Scams. These scams involve thieves calling and pretending to be from a bank or government agency. They might claim there's a problem with your account and ask for your personal information to fix it.
- Mail Theft. Some thieves steal mail to gather information. They look for bills, bank statements, or other documents with your personal details.
According to the Indiana Cybersecurity Hub, some of the most effective scams include phone calls from scammers who pretend to be government officials.[2] These callers demand personal information or money. There are also calls that claim the senior has won a lottery or prize, but must send a payment to claim it. Another common fraud involves computer tech support scams, where scammers insist on payments or personal information to provide assistance.
How To Protect Yourself or a Loved One from ID Theft
Protecting yourself from identity theft means being cautious and proactive. Here are some tips to help you stay safe. By following this advice, you can help protect yourself and your loved ones from identity theft.
1. Safeguard Personal Information
Be cautious of unsolicited calls, emails, or letters asking for personal information. Always verify the source before providing any details.
Keep your personal information private. Don't share your Social Security number or financial details over the phone unless you're sure who you're talking to. Always ask why the information is needed and confirm the identity of the person or organization requesting it.
Shred documents that contain personal information before throwing them away. This includes bank statements, bills, and any paperwork with sensitive data.
Create strong, unique passwords for your online accounts. Avoid simple passwords like "password123." Mix letters, numbers, and symbols for better protection. Avoid using personal information like birthdays or names in your passwords since these can be easy for hackers to guess.
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2. Monitor Your Accounts
Regularly check your bank and credit card statements for unusual activity. Set up alerts with your bank to receive notifications of any unusual transactions. Get credit monitoring to keep an eye on credit reports.
- When monitoring, watch for:
- Unrecognized transactions.
- Notifications of a change in your account.
- Suspicious login information.
If you see anything fishy, report it immediately. You can report it to your bank, the Federal Trade Commission,[3] and the local police.
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3. Spend Time with Elderly Loved Ones and Educate Yourself
Spend time with senior loved ones to help prevent isolation. Regular contact can help them feel supported and less likely to fall victim to scams. Discuss any suspicious calls or emails they might receive to ensure they don't fall for scams.
Stay informed about the latest scams and share this information with your loved ones. Education is a powerful tool to prevent identity theft. Attend community seminars or online webinars about identity theft prevention to stay updated.
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4. Sign Up For Identiy Theft Protection
Consider signing up for an identity theft protection service. These services monitor your accounts and alert you to any suspicious activity. They can also help you recover if your identity is stolen. This can provide peace of mind.
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Keep Your Assets Secure Against Fraud with Centier
Identity theft is a growing concern, especially for seniors. By understanding how it works and taking steps to protect yourself, you can reduce the risk of becoming a victim. Stay vigilant, safeguard your information, and educate yourself and others about common scams.
Concerned about senior identity theft? Take proactive steps to protect your finances. Monitor your accounts closely and detect any suspicious activity early on.
Start safeguarding your financial well-being today with Centier’s online and mobile banking.
Sources:
[1] https://www.seniorliving.org/identity-theft-protection/statistics/
[3] https://www.identitytheft.gov/
