CrossState’s Conway and Diamond Credit Union’s Patel Discuss Financial Exploitation

Yesterday, CrossState President & CEO Patrick Conway and Diamond Credit Union President & CEO Rick Patel joined PA Newsmakers Host Terry Madonna to talk about financial exploitation, financial scams, and ways for elders to protect themselves.

June is Elder Financial Abuse Awareness Month. According to the PA Department of Aging, financial exploitation is the fastest growing form of elder abuse. Older adults are at an increased risk for financial exploitation due to steady incomes, accumulated wealth, and retirement savings.

Here are a few of their key points:

Trending Senior Financial Scams

Grandparent Scams

Grandparent scams occur when someone calls a senior claiming to be the senior’s grandchild or a law enforcement officer who has detained the senior’s grandchild.

The scammer tells the senior that the grandchild is in trouble and needs money to help with an emergency, such as getting out of jail, paying a hospital bill, or leaving a foreign country.

How to avoid grandparent scams:

Resist the urge to act immediately.
Ask the person questions only the relative would know to verify their identity.
Call a phone number that you know belongs to your family member.

Romance Scams

Romance scams happen when a senior meets someone online who lavishes them with attention and then asks for money.

Romance scammers often use dating apps or social media to identify their victims.

How to avoid romance scams:

Never send money or gifts to someone you haven’t met in person.
Take it slowly and take steps to verify the identity of the person.
Talk to someone you trust about your new love interest.
Cut off contact right away if you suspect a romance scam.

How are Financial Institutions Protecting Seniors?

Financial institutions, like credit unions, are innovating several promising new services and processes to flag cases for immediate action that can prevent exploitation before money leaves the account.

Reported red flags:

Unusual activity in an older person’s bank accounts, including large, frequent, or unexplained withdrawals.
ATM withdrawals by an older person who has never used a debit or ATM card.
Changing from a basic account to one that offers more complicated services the customer does not fully understand or need.
Withdrawals from bank accounts or transfers between accounts the customer cannot explain.
New “best friends” accompanying an older person to the financial institution.
Sudden non-sufficient fund activity or unpaid bills.

How Seniors Can Protect Themselves:

Plan ahead to protect your assets and to ensure your wishes are followed.
Consider a financial caregiver.
Shred receipts, bank statements, and unused credit card offers before throwing them away.
Lock up your checkbook, account statements, and other sensitive information when others are in your home.
Regularly review your credit report.
Never give personal information, including Social Security Number, account number, or other financial information to anyone over the phone unless you initiated the call and trust the other party.
Never pay a fee or taxes to collect sweepstakes or lottery “winnings.”
Never rush into a financial decision. Ask for details in writing and get a second opinion.
Consult with a financial advisor or attorney before signing any document you don’t understand.

Watch the full recording on the PA Newsmakers website. You can also catch this episode on the following days, times, and stations:

WGAL Channel 8 (Harrisburg and Lancaster) Sunday, June 2nd at 11:30 AM
WBPH (Lehigh Valley and Philadelphia) Monday, June 3rd at 8:30 PM
WLYH (Harrisburg, Lebanon, York7th) Monday, June 3rd at 8:30 PM
WKBS 47 (Altoona) Saturday, June 8th at 9:30 AM
WPCB 40 (Pittsburgh) Saturday, June 8th at 9:30 AM
MeTV (Susquehanna Valley) Sunday, June 9th at 9:30 AM

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