Elder and Vulnerable Adults Finacial Fraud

If you think you or someone you care for may be the victim of a financial scam, please contact the Division of Banking and Securities at 907-269-8140 or email DBS Enforcement Email

Older Alaskans can be prime targets for financial fraud. Those 60+ typically have worked hard to enjoy their golden years by building a nest egg, owning their homes, and having good credit. Our older Alaskans can’t earn back a lifetime of stolen savings.

Adult children of the elderly are the most common financial abusers. But it is important to be aware of other trusted individuals around you: caregivers, power of attorney, guardians, or conservators. Financial fraud by these trusted individuals can occur at nursing facilities or assisted living, but also to those who live independently.

Red Flags Seniors Should Look For

You are being left out of managing your finances.

You no longer receive financial statements in the mail and did not request that they stop coming to you.

Your bills are suddenly going unpaid.

You see large amounts of money leaving your accounts.

The above red flags are not the only indicators of fraud. If you have someone manage your finances for you, you may not receive statements in the mail. However, requesting regular updates on your finances, including statements and returned checks, is reasonable.

According to the Federal Bureau of Investigation’s (FBI) Elder Fraud Report for 2023, financial crimes against those 60+ rank highest in the nation and are costing Seniors billions of dollars.

Federal Bureau of Investigations Elder Fraud Report

Many who fall into the above demographic do not report financial fraud crimes, not to their families, caregivers, or the law enforcement community. Burdened by embarrassment, a lack of knowledge, or concern over “WHO” is defrauding them, allows these crimes to go mostly unpunished. Nationally, over $28 billion was stolen from older Americans in 2022, but only $7.8 billion was reported by victims.

Federal Bureau of Investigations Elder Fraud Report

The FBI’s Elder Fraud Report for 2023 shows that between 2021 and 2023, the following schemes targeting those 60+ saw a significant increase in the number of complaints received by the Internet Crimes Complaint Center (IC3):

Federal Bureau of Investigations Elder Fraud Report

Below are the definitions of the types of schemes in the graph above. All definitions were taken from the FBI's Elder Fraud Report for 2023.

Advanced Fee: An individual pays money to someone in anticipation of receiving something of greater value in return, but instead, receives significantly less than expected or nothing.

Business Email Compromise (BEC): BEC is a scam targeting businesses or individuals working with suppliers and/or businesses regularly performing wire transfer payments. Fraudsters carry out these sophisticated scams by compromising email accounts and other forms of communication, such as phone numbers and virtual meeting applications, through social engineering or computer intrusion techniques to conduct unauthorized transfers of funds.

Confidence/Romance: An individual believes they are in a relationship (family, friendly, or romantic) and are tricked into sending money, personal and financial information, or items of value to the perpetrator or to launder money or items to assist the perpetrator. This includes the Grandparent’s Scheme and any scheme in which the perpetrator preys on the targeted individual’s “heartstrings.”

Extortion: Unlawful extraction of money or property through intimidation or undue exercise of authority. It may include threats of physical harm, criminal prosecution, or public exposure.

Investment: Deceptive practice that induces investors to make purchases based on false information. These scams usually offer those targeted large returns with minimal risk. (Retirement, 401K, Ponzi, Pyramid, etc.).

Government Impersonation: A government official is impersonated in an attempt to collect money.

Personal Data Breach: A leak/spill of personal data which is released from a secure location to an untrusted environment. Also, a security incident in which an individual’s sensitive, protected, or confidential data is copied, transmitted, viewed, stolen, or used by an unauthorized individual.

Tech Support: Subject posing as technical or customer support/service.

You Are Not Alone.

There are resources designed to help keep our seniors informed. Below are resources that can be used to keep you informed, and can be used if you find yourself or a loved one has fallen victim to financial fraud.

The Division of Banking and Securities

Part of the Division of Banking and Securities' (the Division) work is safeguarding Alaskan residents from financial fraud by providing resources to prevent victimization and offering support to those affected.

The Office of Elder Fraud and Assistance
The Office of Elder Fraud & Assistance is charged with addressing all forms of financial exploitation and coordinating related services for the entire elder population of the state of Alaska. Our goal is to ensure that every elder victim of financial exploitation who wants assistance: 1) Receives it from existing sources, and 2) Where other assistance is unavailable, to provide individual civil representation.
(907) 334-5954
(907) 269-1071 fax
doa.opa.elder.fraud@alaska.gov

The Alaska Commission on Aging
The mission of the Alaska Commission on Aging is to ensure the dignity and independence of all older Alaskans, and to assist them to lead useful and meaningful lives through planning, advocacy, education, and interagency cooperation.

The Social Security Administration

The Social Security Administration (SSA) has a page dedicated to SSA fraud. You can report suspected fraud and learn what to look for.

AARP Fraud Watch

AARP’s Fraud Watch Network Helpline is a free resource for AARP members and nonmembers alike. Trained fraud specialists and volunteers field thousands of calls each month. Get guidance you can trust, free of judgment.
1-877-907-3360