Lucrative Telemarketing and Mail Fraud Scams Target the Elderly

The lure of quick money for senior citizens makes seniors an easy target for financial predators who do not want to enter a more honest workforce. Ross Perot, a 1992 Presidential candidate stated that the North American Free Trade Agreement is a “giant sucking sound” to the American economy. There is another giant sucking sound and that is telemarking and mail scams on seniors cheating them out of their money. Nolo Press and other authors specializing in elder fraud report that forty billion dollars annually are being siphoned out of the pockets of the elderly. This does not include computer email fraud which deserves its own topic discussion. American Association of Retired Persons (AARP) stated that most victims are 50 years or older.

The National Council on Aging mentioned in the “Telemarketing/phone scams” category that scammers can defraud a person repeatedly. Scammers will also sell their victim’s list to other scammers worldwide which is why the phone calls kept on coming.

Such is the case with a relative of mine. She is 82 and may suffer from the onset of dementia. She has always had this inclination over the years towards quick money. She saves everything and is extremely frugal. Her phone would ring at least 5 times a day, calls from strangers letting her know she “won” a grand prize total of $10,000 — $50,000 and in order to claim her prize money, she would just need to send $19.99 in a self-addressed stamped envelope (SASE) to cover the shipping expenses. If she wanted an expedited service, send $39.99. Other callers were fake Publisher’s Clearing House Sweepstakes, Veterans Funds which is legal and fake Microsoft’s anti-virus protection unit. I asked her to get caller ID but she refused saying it costs too much. Two dollars more per month on the phone bill verses sending in $20 here and $10 here for prize money that never arrives. The logic didn’t make sense. Finally, after much debating, I got her to order Caller ID and to start writing down where these calls were coming from. Weeks later, she “lost” the list of numbers.

About 6 years ago, she calls me up and asks if I can take her to the nearest Western Union. Why I asked. She said she won a $100,000 sweepstakes prize but she would need to send in $500 for insurance purposes. I tried to convince her that it was a scam but she didn’t believe me. I drove her to one location that was 10 miles from her home. Fortunately, the establishment closed down and was converted to a liquor store. During the trip, there was no getting through to her, she was absolutely convinced she won the money.

As an advocate for a developmentally disabled sister and disabled relative, I’m amazed how extremely difficult it is to help and protect relatives from financial harm. Many elderly people are convinced that they can’t be wrong. Some seniors are just too embarrassed to come forward and admit that they entered a transaction were they became the victim.

Telemarketing and mail fraud scams are so difficult to prove because there is no face-to-face interaction, no real paper trail and the money that is sent, usually goes to a P.O. Box. Most seniors are not technologically savy. Seniors are more trusting, believe most people are honest and respectful. Seniors are not trained to demand the sweepstakes money first, and say, “then I’ll send you the insurance money, Mo-Fo.” Forty billion dollars annually can generate a lot of public service announcements targeting seniors. All those billions slurped away can launch many crime fighting careers.

Solution? There is no immediate solution and the justice system is unwilling to budge on this issue for fear of taking away an elderly persons rights. The issue is complex and complicated. The National Council on Aging published a tips page but how many of us have followed this advice that we offer up to our seniors? I know I’ve been scammed. In addition, so many of these expert sites are advising to call the police, call Adult Protective Services and the bank. I have called on behalf of my relative and have frequently found myself in the suspect’s position. The National Council on Aging, states that, “Over 90% of all reported elder abuse is committed by the older person’s own family members.” The crime does not get solved and the issue gets kicked down the road. In my case, I got tired of calling APS and went directly to the Santa Clara County’s District Attorney’s office Elder Fraud Unit website. I said that my relative is being taken advantage of on many different levels. The Deputy District Attorney also suspected that I was the perpetrator. After realizing that I’m clean, the Deputy D.A. said I need to get an attorney.

Chasing and busting scammers is hard work. What are the possible solutions? Do we as a society appoint someone honest, employing limited conservatorship, who oversees the seniors well-being or do we allow seniors to be victims of financial fraud which poses greater risks? If seniors lose everything, they become homeless, it would be a greater cost to society and what a shame that is.

Rents are on the increase in the Bay Area. More seniors are becoming desperate for cash-generating opportunities, and therefore increase their chance of becoming victims. Although, the article stated more seniors are becoming homeless, the paper suggested it was due to higher housing costs. It is easy to understand though, “If only I can win a $100k, I wouldn’t need to worry about rent.” The greater the desperation, the easier it is to prey on seniors. This is not a society I would like to see in the Bay Area or anywhere else.

The solution, other than to practice saying no, is to expand the powers of Adult Protective Services. Have the County assign a family member to oversee the family finances. Give tax credits to a family individual that keeps an eye on potential victims. Greater trust and responsibility must be given to specific members of the community in order to slash that giant sucking sound that’s piped in directly to our most vulnerable citizens of this country. Just say “No. Up Yours!” and click is not working and is not going to work.