Holyoke police educate senior citizens on how to recognize and avoid scams

“The best way to avoid being a victim of a scam is to think ahead,” advised Holyoke Police Officer Jordan Fleharty at the monthly Sunshine Gang gathering on April 6 at the Sunset View community room. He, along with Police Chief Doug Bergstrom, presented a slide show titled “Scam, Schemes & Frauds Impacting Older Adults and How to Avoid Being a Victim.” They described numerous methods used by criminals to dupe people into giving the criminal money or personal information that the criminal will then use to steal their identity. With their identity stolen, the thief can then access additional personal information, such as using a victim’s credit cards. 

Increasing people’s awareness to spot a scam so as not to fall for it is the first line of defense. Safeguarding one’s personal information will also lessen the risk of becoming a victim.

Identity theft

The officers explained that identity theft occurs when someone uses your Personally Identifiable Information (PII) without your permission or knowledge, usually for the thief’s own financial gain. Examples of PII include social security numbers and dates of birth; contact information like phone numbers and addresses; government-issued identification such as driver’s license, birth certificates and passports; online information like passwords and PINs; geolocations tracked in smartphones, GPS and cameras; verification data like a mother’s maiden name, school attended, pet’s name, etc.; medical records, prescriptions, exams; and account numbers for finances and insurance.

PII can be obtained by hacking computers and smartphones; gaining access to job-related records; “dumpster diving” to look for documents containing PII; installing skimming or shimming devices at credit card readers, such as at gas stations, to steal data from the card’s magnetic strip or chip; and finding or purchasing data from the dark web. PII can also be found from burglarizing homes, stealing mail, looking through the trash, and intercepting pre-approved credit card applications or cards in the mail.

Criminals can also use devices to obtain data on credit card magnetic strips and chips from a distance even if the card is in a pocket, wallet, or purse. Chief Bergstrom recommends using wallets that block the WiFi radio frequency used to access the strip or chip. Look for a reference on the wallet like “RFID Blocker” or other magnetic-related protection.

Examples of ways to reduce the risk or prevent identity theft are to shred all documents that include PII, regularly monitor bank and credit card records and credit reports, and use contactless payments like Google and ApplePay. Officer Fleharty advised the audience to be “mail conscious.” Remove mail on a timely basis from mail boxes, especially if expecting a new credit card. If necessary to mail a check, mail it from the post office instead of your house. In regard to phone calls and email, do not provide your name or any other PII from communication you did not initiate.

Scams and schemes

Scams commonly occur by phone or email. Schemes often include creating a sense of alarm, playing on people’s emotions and impressing upon the victim to act with a sense of urgency. 

Especially specific for the Sunshine Gang attendees are scams aimed at grandparents. The caller could be someone feigning to be a grandchild, doctor, law enforcement officer or other person claiming to know their grandchild. The grandchild emphasizes that they are in desperate need of funds for anything like tuition, car repairs, overdue rent, bail money or other emergencies. They beg the would-be victim to not tell the grandchild’s parents. They attempt to have the grandparent wire them the funds. Fake doctors may say the grandchild has been critically hurt in an accident and funds are needed for emergency care. Law enforcement may say the grandchild has been arrested and bail money is needed.

Officers provided numerous other examples of phone scams intended to take someone’s money by getting their credit card number. Examples included a charity seeking a donation that could be charged at the moment to a credit card; a utility company soon turning off service unless payment is received immediately; someone representing a governmental agency, i.e. IRS, social security, Medicare, FBI, etc.) stating that money is owed or that a warrant has been issued for your arrest for which immediate payment will resolve the issue; and COVID 19-related offers such as a test kit that could be mailed to a home upon advance payment.

Attendees were reminded that utility, law enforcement and other government-based entities do not call people and especially not with requests for PII. They use the mail for customer communications.

Officers elaborated on a common email scam categorically referred to as a romance scam. Identified as a rapidly growing scam, the Federal Trade Commission (FTC) reports that losses grew from $33 million in 2015 to $201 million in 2019. Initiated through dating websites, the perpetrator lures the victim off of the dating site, professes their love quickly, and typically claims to be overseas for business or military service. Once they gain the victims’ trust, they ask for money to help with emergencies, medical bills, travel expenses to visit them, etc. They make plans to visit, but then suddenly cancel due to an unexpected emergency. 

Officers advised that money should never be sent to anyone you have not personally met. Nor should you set up new bank accounts if asked, as this could be for money laundering. Dating site users should take it slow, ask questions and look for inconsistent answers. Spelling errors and poor grammar are also signs that perpetrators are in other countries.

Other email or cell phone texting scams include messages that state that a problem exists with a package delivery or an invoice has been processed for a recent purchase. These are attempts to get the victim to call the sender to resolve the issue that typically requires needing a credit card number or another payment.

Fraud

Lottery and sweepstakes scams are the most common form of fraud according to the FTC. Seniors lose about $35 million annually due to false notices of winning prizes and sweepstakes. Scam artists notify the victim by telephone or mail that they have won a sweepstakes or foreign lottery. In order to claim the payout, they must first pay fees for shipping, handling, taxes, customs or other supposed expense by wiring money, sending a personal check or providing credit card information, sending a money order by overnight delivery or courier or purchasing and sending gift cards as payment. 

Officers reminded attendees that legitimate lotteries do not notify winners by phone, mail, or e-mail. And, legitimate lotteries do not charge fees or collect upfront payments or credit card numbers.

Home improvement fraud involves contractors that require a large payment in advance of work getting started and then leaving the job unfinished or well below the standard expected. Officers offered numerous suggestions to avoid being victimized. These included getting bids for the job insisting on a written contract that describes the exact work being done, start and finish dates, total cost of the project, name and street address of the contractor; and obtaining the license number of the person named under the contract. The license can get checked out at the Colorado Department of Regulatory Agencies. They can also be checked out with the Better Business Bureau for any complaints.

Officers also recommended that no payment be issued prior to reading and signing the contract. Also, do not pay more than one-third of the total cost up front and do not pay the final amount until completely satisfied with the work completed.

Financial elder abuse is defined as “The fraudulent or otherwise illegal, unauthorized, or improper act or process of an individual, including a caregiver or fiduciary, that uses the resources of an older individual for monetary or personal benefit, profit, or gain, or that results in depriving an older individual of rightful access to, or use of, benefits, resources, belongings, or assets.” Two-thirds of all elder abuse perpetrators are family members serving in a care-giving role.

Common crimes committed by relatives and caregivers include taking elder’s money, property or valuables; cashing pension or social security checks; using credit cards or lines of credit; changing trusts or power of attorney authorization; changing titles of property or deeds for homes; and adding their own name to financial accounts.

What to do if you’re a victim

Credit card holders should regularly monitor credit reports (annualcreditreport.com). If scammed, file a report with the effected financial institutions and close any accounts that are at risk. Place fraud alerts on credit reports and freeze accounts with the three credit bureaus (Experian, TransUnion and Exquifax). File a police report and also report identity theft to the Federal Trade Commission at ftc.gov. 

For additional assistance, contact the Holyoke Police Department/dispatch at 970-854-2244. The Department of Human Services can be reached at 970-854-2280. The FTC can be reached at 1-877-382-4357.

Note: Much of the information utilized in this article was taken from a printed copy of a slide show presented by the Holyoke Police Department.