1.Consumer Fraud Just Say No! Presenter: Barbara J. Stark

2. What is consumer fraud?

fraudis an intentionaldeceptionmade for personal gain or to damage another individual

Fraud is acrime , and also acivil lawviolation.

Fraud can be committed through many media, includingmail ,wire ,phone , and theInternet( computer crimeandInternet fraud )

3. Facts about consumer fraud

Seniors aged 60 and older account for about15%of the population in the United States

Yet, according to some estimates, seniors account for30%of fraud victims

4. Objectives

By the end of this presentation you will be able to:

Recognize senior scams

Protect yourself from fraud

Know steps to take if you become a victim

Know where to learn more

5. Why are seniors targeted?

• Generally, seniors

• are more vulnerable and trusting

• have trouble spotting fraud

• find it difficult to end unwanted telemarketing calls

• are often reluctant to seek advice about financial matters

6. Types of common scams

Sweepstakes and lotteries

Charities

Sucker lists

Deed forgeries

Identity theft

Caretaker crimes

Medicare and health fraud

Funeral and burial

7. Sweepstakes and Lottery scams

Youre told that youve won a sweepstakes or the Canadian lottery

Youre asked to pay for processing, taxes or delivery, or provide a bank account number to verify your identity

No one ever receives a penny except for the thieves

8. Charity scams

Sound-alike names can be tricky and deceptive

Nonprofit and charitable groups must file IRS Form 990

• Check 990s at GuideStarwww.guidestar.org

Before you donate, check to see if the charity is legitimate

• www.charitywatch.org : 773-529-2300

• www.nasconet.org(report charity fraud)

9. Sucker lists

• If you often respond to sweepstakes or contests, your name might be added to lists sold to con artists

• A sucker list contains the names of people who have been, or are good candidates to be, victims of fraud

• People on the lists may hear from crooks who claim they can help recover, for a fee, money lost to a con artist

10. Deed forgeries

Scam artists forge the homeowners signature on transfer deeds so that they can illegally acquire ownership of the property

Never sign blank contracts or other documentsthey could be filled in later by scam artists who want to steal your property

11. Identity theft

ID theft criminals use your personal information to apply for credit or government benefits

• Your name

• Your birth date

• Your Social Security number

• Your address

• Your bank account or credit card numbers

12. Caretaker crimes

Be alert for caregivers

• who try to isolate you from your friends and family

• who ask about your will and investments

• who ask to be given power of attorney

• who try to dominate or influence you

Tell family members or call adult protective services

13. Medicare fraud

• Itis illegal for companies offering Medicare drug plans to charge you a fee, or to offer you cash or free food to get you to enroll in a plan.

• If you are interested in the benefits available to you as a Medicare beneficiary, visit the federal governments Medicare web site(www.medicare.gov)or call800-MEDICARE (800-633-4227).

14. Health fraud

Signs of health fraud include:

• Promoters of cures who claim that the medical establishment is keeping information away from consumers

• Testimonials from people who supposedly have been cured

• Secret formulas that no one else has

• The use of infomercialsprograms that look like news, but are just lengthy ads paid for by the promoter

15. Funeral and Burial scams

• It makes sense to plan your funeral and burial in advance.

• Do your homework before paying for funeral/burial services in advance.

• Draw up your plans with a reputable funeral business and save a copy for your survivors.

• If you want cover the cost of your funeral, you can include funds to do so in your will.

16. Warning signs of fraud

Be suspicious if you hear:

• Youve won a prize or free gift

• Youve been selected to receive a special offer

• You must act immediately or lose out

• You must pay for shipping your prize or free gift

• Give us your credit card number and expiration date to verify that you are a credit cardholder

17. More warning signs of fraud

• Youre asked for personal information

• Youre asked to donate to an agency whose name sounds like a well known charity

• Youre one of only a chosen few to receive this offer

• A courier will come to your home to get your payment

18. The Grandparents Scam

Grandma! Hi, how are you?

Hi, Billy.How are you?

Actually, Im in some trouble, and dont want Mom and Dad to know . . .

19. The Grandparents Scam(contd)

How can you avoid this type of scam?

• Verify the callers identity (personal questions) to make sure hes family!

• Resist the pressure to act immediately.

• Call the local police on a non-emergency line.

• Do not wire money or send money via an overnight courier.

• Report the fraud to the FTC.

20. Protect yourselfJust say no!

Dontbe pressured to make immediate decisions

Dontgive your financial account information or Social Security number over the telephone

Dontbuy something merely because it comes with a free gift

Dontfall for statements that you have won a prize, especially if you must send money to claim it

Dontsend cash by messenger or overnight mail

21. Protect your property and assets

Financial exploitation is often committed by a person that is trusted by the victim

Keep all important financial documents under lock and key in your home

Store valuables in a bank safe deposit box

22. If you become a victim

Call the police

• You may need a police report to help you prove that you were a victim

Contact your state and local law enforcement agencies such as your district attorneys office or the state attorney general

23. Elder Abuse Prevention

Directory of Elder Abuse Prevention Resources

• The National Center on Elder Abuse www.ncea.aoa.gov

• • Click on Find State Resources

• Call 800-677-1116

The federal agency that advocates for older persons

• www.aoa.gov

24. Thank you!

For more information contact:

American Debt Counseling, Inc.

A 501(c )(3)non-profit Credit Counseling Organization

14051 NW 14 thStreet

Sunrise, FL 33323

www.americandebtcounseling.org

1-888-DEBT USA