Helping Loved Ones Avoid Financial Scams

As parents and loved ones grow older, many families naturally step into a new role: protector. At the same time, the digital world continues to evolve, and unfortunately, so do the tactics used by scammers. Today’s fraudsters use sophisticated technology and emotionally manipulative strategies designed to create fear, urgency, and confusion.

Older adults are often targeted through phone calls about suspicious account activity, fake government representatives, online romance scams, or urgent requests to move money to “protect” it. While these schemes are carefully designed to appear convincing, families can play a powerful role in helping older loved ones stay safe.

The good news is that awareness, open communication, and a few simple precautions can significantly reduce the risk of financial fraud.

 

Start the Conversation Early and Keep It Going

Talking about scams can feel uncomfortable, especially if someone has already been targeted. Many older adults may feel embarrassed or worry about losing independence. Approaching the topic with empathy and understanding can make a big difference. 

It helps to remind loved ones that scams are not a reflection of intelligence. They are designed by professionals whose goal is to deceive.

You might begin the conversation in a supportive way, such as:

  • “I recently read about a scam targeting older adults. Have you heard about it?”
  • “If someone ever asks you to send money quickly, can we agree to talk first?”
  • “Scammers are getting more sophisticated. Let’s keep each other informed.”

Normalizing these conversations around scams helps remove stigma and encourages loved ones to speak up if something feels suspicious.

Create a “Pause and Call” Rule

One of the most effective protections is a simple agreement: pause before acting and call a trusted family member first.

Scammers rely on urgency and secrecy to prevent clear thinking. Encouraging your loved ones to slow down and verify requests can disrupt the scammer’s plan. Remind them:

  • Financial institutions will never ask them to move money to another account to “protect” it.
  • Government agencies do not request payment via wire transfers, gift cards, or cryptocurrency.
  • Fraud teams will never reach out to them and ask for passwords, one-time security codes, or full online banking credentials.
  • Any request demanding immediate action should always be verified independently.

If something feels rushed or confusing, it’s always worth taking a step back.

Know the Common Warning Signs of a Scam

Understanding the red flags of fraud can help your loved ones recognize when something isn’t right.

Watch for:

  • Requests to withdraw large amounts of cash unexpectedly
  • Instructions to wire money or send cryptocurrency
  • Pressure to purchase gift cards and share the codes
  • Being told not to speak with the bank or family members
  • New online relationships asking for financial help
  • Requests to move money into a “safe” account
  • Claims that a loved one needs bail money
  • Unexpected lottery winnings, inheritances, or investment opportunities
  • Requests to install remote access software on a computer

If an offer seems too good to be true or too urgent to question, it likely is.

Review Accounts Together

Regularly reviewing financial activity as a team can help catch suspicious activity early. Consider setting aside time each month to:

  • Review account transactions
  • Check for unfamiliar withdrawals or transfers
  • Confirm recent deposits
  • Look for unusual wire, check, or payment activity

Position reviewing these accounts as collaboration rather than oversight.  Working together to catch and avoid scams can build confidence and strengthen trust.

Set Up Financial Safeguards to Catch Scams Early

Many financial institutions offer tools designed to help prevent fraud and protect account holders. Helpful options may include:

  • Transaction and balance alerts
  • Daily withdrawal or spending limits
  • Adding a trusted contact person to the account
  • Notifications for large transactions
  • Account monitoring services
  • Free credit report checks to monitor for identity theft

Small steps can make a significant difference in protecting someone’s life savings.

Verify Through Trusted Channels

If your loved one receives a suspicious phone call, text, or email claiming to be from their bank, credit union, or a government agency, encourage them to verify the request independently.

Scammers can “spoof” phone numbers to make it appear as though the call is coming from a legitimate organization. The safest approach is to hang up and contact the institution directly using the phone number listed on its official website or on the account statement.

A quick verification can prevent a costly mistake.

Stay Informed About Emerging Scams

Fraud tactics are constantly evolving. Staying aware of common scams can help families recognize threats early. Common scams targeting older adults include:

  • Imposter scams posing as banks, government agencies, or tech support
  • Romance scams, where criminals build online relationships before requesting money
  • Grandparent scams, where someone pretends to be a grandchild in trouble
  • Investment scams promising unusually high returns
  • Phishing emails and texts designed to steal login information
  • Medicare or healthcare fraud

Organizations such as the Federal Trade Commission and the FBI regularly publish updates on emerging scams targeting older adults.

Scam Protection Starts with Communication

Scammers are experts at creating panic, confusion, and secrecy. Families are most powerful when they create communication, awareness, and support.

By keeping conversations open, setting simple safety rules, and staying involved, you can help protect your loved ones from financial exploitation. After all, protecting the people who always strive to protect you is one of the most meaningful roles we can take on.

Learn more about common scams and how you can protect your loved ones by visiting our Security Center.