Financial scams of all kinds are on the rise, but that’s especially the case for ones impacting older individuals. More than 3.5 million older adults are victims of elder financial fraud every year, resulting in billions of dollars in losses.

Protecting yourself or your loved ones from elder scams is possible. By staying informed and taking measures to safeguard financial accounts, you could help prevent an older adult from facing financial fraud.

The United States Consumer Financial Protection Bureau (CFPB) defines financial abuse as occurring “when someone takes or misuses another person’s money or property for the benefit of someone other than that person.”

Elder financial abuse applies specifically to elderly victims. Perpetrators exploit the vulnerabilities of the elderly, such as their frequent reliance on others to help manage their financial affairs, for financial gain. This abuse can take many forms and often involves someone the victim believes they can trust.

Elder financial exploitation typically take two forms: elder theft and elder scams.

Elder theft generally involves the theft of money or other assets by someone an elderly individual trusts, such as a family member or a caregiver. These thieves abuse their positions of trust and use tactics like coercion, deception and intimidation to achieve their desired results.

Elder scams are generally executed by strangers, often from outside the United States. These fraudsters may call the elderly victim or contact them online, either through email or social media, and seek payment for a variety of reasons.