Protecting yourself from scams: essential tips for seniors

As technology advances and the world becomes increasingly digital, the opportunities for fraudsters to take advantage of unsuspecting victims continue to grow.

The Canadian Anti Fraud Centre reported $531 million in fraud losses in 2022, nearly a 40 per cent increase from 2021. While fraudsters have become more sophisticated in their approach to targeting all demographics, Canadian seniors may be particularly vulnerable to scams. 

“Older adults are targeted for a myriad of reasons,” says Kevin Purkiss, Vice-President for Fraud Management at RBC. “That includes their increasing online presence and their access to greater savings. Other research points to distinct age-associated characteristics that puts them at risk.”

Purkiss also points out that, while the financial impact from fraud is significant, the overwhelming guilt and shame can be even more debilitating because it may prevent people from seeking help after being victimized.

“Safeguarding our wellbeing is equally, if not more, important as safeguarding ourselves from potential fraud,” he says.

Watch out for these common scams

According to RBC, there’s been a rise in fraudsters “coaching” potential victims, especially older Canadians. This can make it even tougher to spot the signs of a scam, as fraudsters coach how to lie to loved ones or even financial advisors. 

Learning about potential scams is the best way to protect yourself. Here are three scams currently on the rise, especially among seniors:

Grandparent scam: Fraudsters impersonate lawyers, police or government officials. The caller will claim the grandchild is in trouble with the law or in an accident and needs money urgently. Sometimes the fraudster will even impersonate a grandchild calling in a panic.

Romance scam: These scams often start with dating sites or social media. The scammer patiently forms a bond with the victim over time. Once trust is gained, the fraudster will request money for an emergency or unexpected problem. Purkiss says that while anyone can become a victim of this scam, elderly individuals who are isolated have been a main target for these criminals.

Investment scams: These typically involve getting clients to relinquish funds for a questionable investment – or one that doesn’t exist at all.

Those scams are just the tip of the iceberg. Learn more about schemes like skimming and card switching on rbc.com. 

Reduce your risk of fraud

The more we talk about the risk of fraud and learn how to spot the signs, the safer we will all be. 

“Canadians should talk to their parents about the risk of fraud and provide a safe space where their parents can ask questions and speak openly about their experiences,” Purkiss says. 

Here are a few simple steps we can all take to help stay safe from scammers.

1. Because fraudsters may pose as bank staff, family members or law enforcement, don’t give out personal information to people you don’t know and never share your PINs, passwords or login details.

2. Never click on a link or download an attachment from an unknown source. Even if it looks legitimate, verify the sender before taking any action.

3. When shopping online, remember that an offer too good to be true usually is. Trust your instincts, ask questions, do your research and be extra cautious.

4. Be mindful of the personal information you post on social media and take advantage of privacy settings.

5. Stay in the know with your own finances by frequently reviewing your statements and transactions for any irregular activity.

Education and awareness is our greatest defense against fraud. For more tips, visit rbc.com/cyber. If you think you may have shared your bank or payment information with a scammer, report it right away by calling your bank.