Brains and Losses - how the aging brain may become more susceptible to financial scams - NPR Marketplace series (1 Viewer)

[Saint_Ward]

I've caught some of this on NPR radio over the last few days. Lots of elderly being scammed out of money. In some cases, thinking they owe something, in others, thinking it's a money making opportunity.

I haven't read or listened to all of it, but I'm sure it would be a good thing to bring up to any aging parents (70+), and to be aware of ourselves.

https://www.marketplace.org/collection/brains-losses-aging-financial-vulnerability/

One article. https://www.marketplace.org/2019/05/16/brains-losses-aging-fraud-financial-scams-seniors/

Judy Fern is 79 but reads as 15 years younger. She hops the high step into her Honda CR-V, hits the button for public radio (not just for my sake) and expertly pilots through the streets of her seaside town.

The plan is to visit one of the scenes of the crime, the gift card rack at Walmart in Egg Harbor Township, New Jersey.

Department store gift cards are a favorite money transfer device of fraudsters. Over a two-week period, just after Thanksgiving 2017, Fern got caught in an elaborate scam that cost her close to $200,000. That is a fortune to most of us, and it was a fortune for Fern.

Fern is a registered nurse, skilled in the operating room. Well into what most would consider their retirement years, she acts as a fill-in nurse for several public school districts. She goes to Pilates once or twice a week.

“I look back and I can’t imagine what I was thinking,” Fern said. “I was like a robot.”

“I just knew I had to go to Walmart, knew what kind of cards he wanted me to get, get into the car, tear off the back, give him the numbers,” Fern recalled.

Not only are older people heavily targeted by scammers, but surprising data suggest that, as we get older, we become more vulnerable to fraud in so many of its forms.

The part that especially floored me is this: Doctors are studying older people who are on the ball, A-OK. People who — when tested — seem to have no diagnosable cognitive impairment, but who may still be at special risk from those who want to take their money, be it strangers or family.

There is brain research about this. In some cases, it’s like a person’s radar for scams goes dark.

And think about it, people 50 and older hold up to about 83% of the wealth in America. They lose billions on the average each year. And in general, the research shows that as we age, the ability to realize "something is sketchy" fades away.


This section covers how to have the talk with older parents, and maybe even ask yourselves these questions.

https://www.marketplace.org/2019/05/16/brains-losses-protect-seniors-financial-scams-how-to-talk/

This isn’t about estate planning, or a living will, which are different conversations to have, sometimes with a professional. This talk is about day-to-day financial management, including how to avoid being scammed or falling victim to fraud.

Experts agree that it’s key to have this conversation early, before signs of age-related decline and — ideally — before a scam takes place.

Here are four good questions to start with:

1. As you get older, what are your priorities for spending?
2. Do you know what a scam looks like? What would you do if a stranger contacted you asking for money?
3. Who do you trust to help you, and how often would you like them to check in with you about your finances?
4. If your financial decision-making starts to get rocky, what do you want loved ones to do?

Finally, this is a link to some specific things you can do to safeguard your elderly family members. The key is, have this conversation before any age related cognitive impairment occurs. If it's too late, just have it anyway. Realizing a lot of our parents don't want to hear their kids think they know best. You can always set up a third party monitoring deal too, so no kid can abuse a power of attorney. I plan on reading over this more and having a talk with my parents (70 and 72).

How to protect yourself from financial scams - Marketplace

What to look out for — and how to respond.

www.marketplace.org

 

[Saint_Ward]

I'm shocked no one has an opinion on this. Should I pick a fight with seniors to create some drama and get some conversation going?

 

[N.O.Bronco]

I honestly missed it.

I'll refrain from the details of my personal story because it involves a family member and the Iraqi Dinar(not to protect them but anyone familiar with the scam knows it might not be well served on this side of the forum lol). Thankfully though, you could buy 10 million of them and only be out in the thousands. So when we all found out it thankfully wasn't too bad...He's still convinced unfortunately but we at least convinced him enough to stop purchasing them since if he's right he'll have more than enough. Some of these scams are heart-breaking though.

I think it was The New Yorker or This American Life that did a piece on this for their podcast that followed the chain of her father's 6 figure scam to the person that pulled it off, and the cottage industry that has popped up around that type of scamming.

 

[Complex Kid]

Well that's terrifying.

 

[CapitalCitySaint]

I choose to be poor in this country so no fear on my end of getting scammed out of the money I choose not to have.

 

[N.O.Bronco]

Found the piece:

A Daughter Investigates the Scam That Trapped Her Late Father

How could her savvy dad have fallen for what seemed to be such an obvious scam?

www.newyorker.com

Sad stuff

 

[CapitalCitySaint]

On a serious note, though. My grandma got scammed out of a ton of money into her retirement by 1. a 'church' and 2. A man. She wasn't old and senile....just naive (when it came to the 'church') and far too giving (with the guy). This happened in her late 50's/early 60's.

Another one of my mom's sisters got a pretty large sum of money as a result of her husband's death (getting murdered) from his life insurance policy and also got scammed out of it by this "church" (cult) she was a part of. So instead of having money to take care of the 3 kids they had together, she gave it to that cult. My cousins are still bitter about that to this day.

 

[tomwaits]

I dunno, this all sounds like a scam to me.

 

[Saint_Ward]

I honestly missed it.

I'll refrain from the details of my personal story because it involves a family member and the Iraqi Dinar(not to protect them but anyone familiar with the scam knows it might not be well served on this side of the forum lol). Thankfully though, you could buy 10 million of them and only be out in the thousands. So when we all found out it thankfully wasn't too bad...He's still convinced unfortunately but we at least convinced him enough to stop purchasing them since if he's right he'll have more than enough. Some of these scams are heart-breaking though.

I think it was The New Yorker or This American Life that did a piece on this for their podcast that followed the chain of her father's 6 figure scam to the person that pulled it off, and the cottage industry that has popped up around that type of scamming.

I think one of the NPR / Marketplace audio recordings had a comment about a writer up north being convicted for writing the scripts these scammers use. And someone in the Southwest who was printing fliers or something. Basically, these foreign call centers couldn't do this without someone local to help come up with a good scam for the area.