EPPIA Update, April 2009

Congratulations!  You’ve won!             

These are three words that many of us dream of.  They can also be the three words that create a nightmare with no happy ending.

Having your identity stolen or falling victim to a scam can be costly and life changing.

The economic consequences older Minnesotans face when defrauded are often devastating.  Most seniors in Minnesota live on fixed pensions and about one-fifth of Minnesotans over age 60 depend solely on Social Security for their income.  With fixed monthly pension or Social Security checks, it is nearly impossible to replenish bank accounts or money saved for retirement when it is taken by scams.

The Federal Trade Commission estimates that crooked telemarketers swindle older people out of 1 to 5 billion dollars each year.  It is also estimated that the expense to cope with compromised accounts and one’s reputation, can be more than $1000.00 for the victim.

With the uncertainty we all face in our ever changing economy, now more than ever we need to protect ourselves. Scams can be big or small, and come from next door or across the globe. The crooks behind them have two things in common, they want to steal your money and they don’t want to get caught.

Be aware of who you are dealing with. Whether a telemarketer, a door-to-door salesperson, contractor, or even a "new friend" who is asking for your private information, it is important to be able to recognize the warning signs in a scam and learn how to protect yourself from offers and opportunities that sound too good to be true.

First, it is important to take a look at what makes us vulnerable.  Is it our trusting, polite, “Minnesota nice” demeanor? Has there been a change in income or mounting bills?   Or do we feel lonely and isolated.  Whatever the reason, be aware of your personal situation and what makes you more susceptible to answering that special offer, or request for assistance.

Next, we must be aware of the many ways we can be targeted.  It can be an email from someone we know or a company we do business with, a telemarketer on the phone, or someone representing them selves as a family member or friend. It could be an “official looking” document received in the mail, or a random encounter in the course of our day.

Finally, we must all be diligent about reporting our experience. Call a trusted friend or family member for assistance.  Contact the Minnesota Attorney Generals office (651.296.3353 or www.ag.state.mn.us) for guidance, and don’t panic!   By sharing your stories with one another, reporting the crime, taking steps to protect ourselves, we can all be a part of stopping the staggering number of scams reported each year. 

The next time your phone rings, you receive an official looking email,  or you are targeted by a special offer, take a moment to review the following tips for protecting yourself and the ones you love from falling victim to a scam:

• Scam artist go through trash for personal information and account numbers.  Shred or tear yours into pieces (especially pre-approved credit cards).

• Scam artist get rich on other people’s social security, pin, or account numbers.  Keep yours private. 

• Scam artist hope you’ll hand over money without seeking a trusted person’s opinion.  Tell them no.

• Scams can be hidden between the lines of legal papers.  Make sure you read and understand what you sign.

• One scam promises to help you get back money you’ve lost in another scam.  Watch out!

• Scam artist try to pressure you for money up front.  Don’t give in.

• Some scam artist pretend to represent a needy charity.  Verify that it is real before you contribute.

• Scams often start with a telephone offer that sounds too good to be true.  It probably is.

• Scam artist like to rush you into deciding “today”.  Take your time and be sure.

• Neighbors and even relatives are sometimes tempted to take advantage.  Ask smart questions.

Maura Albrecht, from Financial Wellness for You, LLC, works with seniors and their families to assist them in reviewing their financial health.  For many, this can be the first line of defense in protecting individuals from falling victim to a scam.  Contact Maura for information on hosting a scam presentation in your community. 

Officer Elizabeth Stroner, senior liaison contact with the Eden Prairie Police Department, is also available to speak on the topic of scams and identity theft in our community. She can be reached at 952.949.6200.

Eden Prairie Professionals in Aging is a professional networking organization made up of representatives of diverse organizations, all committed to the welfare of seniors in our community. For more information on EPPIA and a list of resources regarding activities in Eden Prairie, please visit our website at www.edenprairieaging.org/.

Submitted by EPPIA Members:

Maura Albrecht, Chartered Financial Consultant, 651.434.2003

Joyce M. Konczyk, Geriatric Care Manager, 612.227.7414

Lisa Schmidtke, Able Deluxe, 952.303.4207

Joanne Bartel, Director of Prairie Adult Care, 612.741.9163