The Federal Trade Commission has seen a recent surge in reports of scammers pretending to be banks and other trusted institutions to target retirees’ life savings, according to a new report by the agency.
The FTC said the scams sometimes involve victims receiving fake warnings of suspicious account activity or unauthorized purchases. They also involve fake government representatives claiming that a victim’s Social Security number is linked to a crime, or fake security alerts on computers and other devices. From 2020 to 2024, the number of reports from older adults who lost $10,000 or more to such scams increased more than fourfold. When older adults reported losing more than $100,000, the number of reports increased nearly sevenfold, and the combined reported losses went up eightfold.
“In another layer of irony, these scammers often pretend to be the FTC, the nation’s consumer protection agency, sometimes impersonating real staff. Reports show these scammers have told people to transfer money out of their accounts, deposit cash into Bitcoin ATMs, and even hand off stacks of cash or gold to couriers – all things the real FTC will never do,” the agency said.
The FTC advised consumers never to transfer or send money to anyone in response to an unexpected call or message. It also advised consumers to hang up and verify an alert with a phone number or website they know is real, and to explore their call block options.
In related news, the American Bankers Association and ABA Foundation provide resources for banks on fighting elder financial exploitation, including the #BanksNeverAskThat consumer education campaign.
