Staying Safe in a Digital World: Avoiding Scams

As we rely more on technology for banking and communication, it is essential to be vigilant against scams, which unfortunately often target seniors. Scammers are clever and use sophisticated tactics to try to trick you out of your money or personal information. Building financial security after 50 means learning to recognize and avoid these threats.

Common Scams to Watch For

Government Impersonation: A scammer calls, texts, or emails pretending to be from the IRS, Social Security Administration, or Medicare. They might claim you owe money or that your benefits are at risk, creating a sense of urgency to get you to send payment or provide personal details.

The Grandparent Scam: You receive a frantic call from someone pretending to be your grandchild who is in trouble and needs money wired immediately. They will beg you not to tell their parents.

Tech Support Scams: A pop-up message appears on your computer screen with a dire warning about a virus, urging you to call a toll-free number for help. The “technician” will then request remote access to your computer and charge you for fake services or install malicious software.

Investment and Romance Scams: Be wary of promises of guaranteed high returns on investments with no risk. Similarly, be cautious of online relationships where the other person quickly asks for money for an emergency.

Simple Habits for Staying Safe

The best defense is a healthy dose of skepticism. Here are a few simple rules to live by:

Do Not Rush. Scammers create a sense of urgency to prevent you from thinking clearly. Always take a moment to pause and think before acting.

Verify Independently. If someone claims to be from a government agency or your bank, hang up. Look up the official phone number on their website or your statements and call them directly.

Never Give Out Personal Information. Legitimate organizations will not call you unexpectedly to ask for your Social Security number, bank account details, or passwords.

If It Sounds Too Good to Be True, It Is. This old saying is more relevant than ever. Ignore unsolicited offers for “free” prizes or unbelievable investment opportunities.

You can report scams and find reliable consumer alerts from the Consumer Financial Protection Bureau (CFPB) and the Federal Trade Commission. Staying informed is your best protection.