October 5, 2026

Protect Your Retirement: Recognizing Scams That Target Older Adults

Protect Your Retirement: Recognizing Scams That Target Older Adults

You have spent years building your savings. A convincing phone call, an urgent text, or an online friendship can put that financial security at risk.

Today’s scams can involve professional-looking websites, fake government credentials, and voices that sound like someone you love. Knowing the warning signs—and having a plan before someone contacts you—can help protect what you have worked hard to build.

The numbers are alarming

According to the FBI’s 2025 Internet Crime Report, people age 60 and older reported:

  • $7.748 billion in losses—59% more than in 2024.
  • 201,266 complaints.
  • An average loss of $38,500 per complaint.
  • More than 12,000 complainants losing over $100,000 each.

These are reported losses, rather than a complete measure of all fraud. Behind the numbers are people whose retirement plans and financial independence have been disrupted.[1]

Five scams to recognize

1. “Your money is at risk. Move it now.”

Someone claiming to represent your bank, the FBI, or another government agency says your accounts have been compromised. They instruct you to transfer money to a “safe” account, use a Bitcoin ATM, or give cash or gold to a courier.

The warning sign: You are being asked to move money to protect it. Hang up and contact the organization using a number you independently know is legitimate.[2]

2. “Grandma, I need help—and please don’t tell anyone.”

A caller claims a grandchild has been arrested, injured, or stranded. Artificial intelligence can help scammers imitate a loved one’s voice.

The warning sign: An urgent request for money combined with secrecy. Call your relative directly using their usual number, even if the voice sounded familiar. Agree on a private family verification phrase before an emergency happens.[3]

3. “Your computer has been hacked.”

A pop-up or unexpected caller claims to be from a technology company. They ask you to install software, provide remote access, or log into your bank account while they “fix” the problem.

The warning sign: Unsolicited technical help that leads to financial accounts. Do not call a number displayed in a security pop-up or grant access to someone who unexpectedly contacts you.[2]

4. “We have a connection—and an incredible investment opportunity.”

A new online friend or romantic interest gradually earns your trust, then recommends an investment. A convincing website may show profits that do not exist. When you try to withdraw money, you are told to pay additional fees or “taxes.”

The warning sign: A relationship turns into pressure to send money or invest. Promises of unusually high, guaranteed returns with little or no risk are another red flag.[4]

5. “Pay your taxes today or face arrest.”

Someone impersonating the IRS demands immediate payment or personal information.

The warning sign: Threats of immediate arrest or demands for unusual payment methods. The IRS normally makes its first contact by mail and does not demand gift cards. Ask your CPA to help verify an unexpected tax notice or request before you respond.[5]

Warning signs that should make you pause

Be especially cautious when someone:

  • Pressures you to act immediately.
  • Tells you to keep the conversation secret.
  • Keeps you on the phone while you withdraw or transfer money.
  • Requests passwords, verification codes, or access to your device.
  • Directs you to pay by gift card, cryptocurrency, or a cash handoff.
  • Tells you what to say to your bank to conceal the reason for a transaction.

Fear, urgency, and secrecy can make it harder to stop and check the story. Give yourself permission to end the conversation and seek a second opinion.[2][6]

Build protection before you need it

Make a personal rule: Before responding to an unexpected request to send money or share account information, stop and speak with someone you trust.

Use phone numbers from your account statement or the back of your bank card to verify requests. Avoid links and contact numbers supplied in unexpected messages.

Use strong, unique passwords and multifactor authentication. Ask your financial institutions about transaction alerts and available transfer safeguards.

Consider naming a trusted contact on your brokerage accounts. This gives the firm someone to contact if it suspects financial exploitation; it does not give that person permission to trade or withdraw your money.[7]

Family members can help by keeping conversations supportive. Make it easy for someone to ask for help without fear of criticism.

If you suspect a scam, act quickly

Contact your bank, brokerage, or payment provider immediately. Explain what happened and ask whether the transaction can be stopped or reversed. Recovery is not guaranteed, but prompt action matters.

Save messages, receipts, phone numbers, and transaction details. Report the incident at ReportFraud.ftc.gov and, for internet-related crime, IC3.gov. If you shared identity information, visit IdentityTheft.gov for recovery guidance. If you face an immediate physical threat, call 911.[8]

Be wary of anyone who demands an upfront fee or guarantees they can recover stolen money. Scam victims can be targeted again by fraudulent recovery services.[9]

A second opinion can help protect your savings

At Welgaard CPAs & Advisors, our goal is to help you protect your financial well-being. If you receive a suspicious tax notice or are being pressured to withdraw retirement funds, contact your Client Manager through your usual Welgaard contact information. We can help review tax-related concerns and connect you with the appropriate next steps.

You do not have to make a financial decision simply because someone says it is urgent. Take the time to verify it.

Sources

[1] FBI, 2025 Internet Crime Report, elder fraud section: https://www.ic3.gov/AnnualReport/Reports/2025_IC3Report.pdf

[2] FTC, False alarm, real scam: https://www.ftc.gov/news-events/data-visualizations/data-spotlight/2025/08/false-alarm-real-scam-how-scammers-are-stealing-older-adults-life-savings

[3] FTC, Scammers use AI to enhance their family emergency schemes: https://consumer.ftc.gov/consumer-alerts/2023/03/scammers-use-ai-enhance-their-family-emergency-schemes

[4] Iowa Attorney General, Fraud & Scams: https://www.iowaattorneygeneral.gov/for-consumers/general-consumer-information/fraud-scams

[5] IRS, How to know it's the IRS: https://www.irs.gov/help/how-to-know-its-the-irs

[6] CFPB, Who do I contact for help with a scam or fraud?: https://www.consumerfinance.gov/ask-cfpb/who-do-i-contact-for-help-with-a-scam-or-fraud-en-1777/

[7] FINRA/SEC, Please Consider Adding a Trusted Contact to Your Account: https://syndication.finra.org/content/please-consider-adding-trusted-contact-your-account

[8] FTC, What To Do if You Were Scammed: https://consumer.ftc.gov/articles/what-do-if-you-were-scammed

[9] FTC, Refund and Recovery Scams: https://consumer.ftc.gov/articles/refund-and-recovery-scams

Statistics verified September 29, 2026.