Memory Digest

Protecting Against Scams

People with memory loss are prime targets for scams and financial exploitation; learn the common scams, early warning signs, practical safeguards for bank accounts, phones and mail, and where to report fraud.

Last reviewed: October 2026

Trouble handling money is often one of the first signs of dementia, sometimes before anyone notices memory problems. That makes people with memory loss especially vulnerable to scammers, who are skilled, persistent and convincing.

The losses are staggering. According to the FBI, people age 60 and older reported 147,127 complaints and $4.885 billion in losses to its Internet Crime Complaint Center in 2024. That was a 43% jump in losses from the year before. In Ohio alone, more than 5,300 people over 60 reported losing more than $95 million.

And many scams are never reported. The National Institute on Aging (NIA) notes that scammers target older adults partly because they're less likely to report fraud.

Common scams to know

The NIA and FBI list these among the most common:

• Government impersonators: someone claiming to be from Medicare, Social Security or the IRS, asking for account numbers or threatening arrest
• Tech support scams: a pop-up or call saying the computer has a virus, then asking for payment or remote access
• The "grandparent" scam: a caller pretending to be a grandchild in trouble who needs money fast and begs, "Don't tell Mom"
• Prize, lottery and sweepstakes scams: "You've won! Just pay the fees first."
• Romance scams: an online "friend" who builds trust over weeks, then needs money
• Investment scams, including cryptocurrency, which caused the largest losses for older adults in 2024
• Phishing: texts or emails that look like they're from a bank or delivery service

Not all exploitation comes from strangers. Sometimes it comes from new "friends," hired helpers or even family members.

Warning signs

The NIA suggests watching for:

• Unpaid or unopened bills, late notices, or utilities being shut off
• Unusual purchases, withdrawals or money transfers
• Missing money or valuables
• Lots of mail from charities, sweepstakes or offers
• New "best friends" or someone suddenly very involved in the person's finances
• Changes to a will, power of attorney or account signatures
• Gift cards or wire-transfer receipts
• The person seeming secretive, anxious or frightened about money or phone calls

Practical safeguards

Plan early. The NIA recommends setting up a durable power of attorney for finances while the person can still understand and agree to it (see Legal Planning). The Consumer Financial Protection Bureau (CFPB) has free, plain-language guides for people managing someone else's money.

Simplify money. Ideas from the NIA and others:

• Set up automatic bill payments and direct deposit
• Use a separate account with a limited balance or a low-limit card for day-to-day spending
• Ask the bank about alerts for large withdrawals and about adding a "trusted contact"
• Review bank and credit card statements every month
• Consider a credit freeze with the three credit bureaus, which is free

Cut down the contact.

• Register phone numbers on the National Do Not Call Registry (donotcall.gov or 1-888-382-1222)
• Use call blocking on landlines and cellphones; let unknown numbers go to voicemail
• Opt out of prescreened credit offers at optoutprescreen.com
• Keep computer and phone security software up to date, and use multifactor authentication when possible

Teach simple rules. The NIA advises:

• Never give out Social Security, Medicare, bank or card numbers over the phone, email, text or social media
• Never pay anyone with gift cards or wire transfers. Real agencies don't ask for that.
• Pressure is a red flag. If someone insists you act now or keep it secret, hang up and talk to someone you trust.

A note by the phone can help: "I don't give money or information over the phone. Call my son, Mark: 555-0123."

If you think a scam happened

Don't be ashamed. The NIA stresses that it can happen to anyone. Act quickly:

1. Call the bank or card company right away to stop payments and close or freeze accounts.
2. Call the National Elder Fraud Hotline: 833-FRAUD-11 (833-372-8311). It's run by the U.S. Department of Justice and helps with reporting.
3. Report online fraud to the FBI at ic3.gov and to the Federal Trade Commission at ReportFraud.ftc.gov.
4. Contact local police and your state attorney general.
5. If you suspect abuse by a caregiver or family member, contact Adult Protective Services in the person's county.

Respecting dignity

Taking over finances can feel like a loss of independence. When possible, involve the person, explain changes as ways to "make things easier," and keep a small amount of spending money they control. See Financial Planning and Paying for Care and Early-Stage Dementia.

Sources

1. National Institute on Aging: Beware of Scams Targeting Older Adults
2. National Institute on Aging: Managing Money Problems for People With Dementia
3. FBI Cleveland: FBI Recognizes Elder Abuse Awareness Day and Warns Americans About Elder Fraud
4. Consumer Financial Protection Bureau: Managing Someone Else's Money

Not medical advice. This article is general information, not a diagnosis or treatment plan for any individual. Talk with a doctor about your situation.

Related articles

• Financial Planning and Paying for Care
• Legal Planning
• Long-Distance Caregiving
• Living Alone with Dementia
• Early-Stage Dementia