Grandparent scams involve fraudsters calling elderly individuals and pretending to be their grandchildren in distress. The scammer claims to be in urgent need of money due to an emergency, such as being in jail, in an accident, or needing help while traveling. These scams exploit the love and concern grandparents have for their grandchildren, leading to significant financial losses.

What Are Grandparent Scams?

Grandparent scams are fraudulent schemes where scammers impersonate a grandchild or another relative in distress to trick elderly individuals into sending money. The scammer typically contacts the grandparent by phone, using information gathered from social media or other sources to make the call seem legitimate. They often create a sense of urgency and fear to manipulate the victim into acting quickly without verifying the story. The scam usually involves requests for money to be sent through wire transfers, gift cards, or other untraceable methods.

How Grandparent Scams Work

Grandparent scams can take various forms, each designed to exploit the victim’s emotions and willingness to help their loved ones. Here are some common methods:

• Emergency Call: The scammer calls the grandparent, pretending to be their grandchild or another relative. They claim to be in urgent need of money due to an emergency, such as being in jail, involved in an accident, or needing funds for travel expenses. The caller often pleads for help and asks the grandparent to keep the situation a secret.
• Impersonating Authorities: In some cases, the scammer may pretend to be a police officer, lawyer, or other authority figure, informing the grandparent of their grandchild’s supposed predicament. They then instruct the grandparent to send money to resolve the issue.
• Information Gathering: Scammers often use information obtained from social media, public records, or previous interactions to make their story more convincing. They may know specific details about the family, making the call seem more credible.
• Payment Methods: The scammer typically requests money to be sent through wire transfers, prepaid gift cards, or other untraceable methods, making it difficult to recover the funds once they are sent.

Recognizing Grandparent Scams

To protect yourself from grandparent scams, it’s essential to recognize the warning signs:

• Unfamiliar Voice: The caller’s voice may not sound exactly like your grandchild. Scammers may use excuses like a bad connection or injury to explain the difference.
• Urgency and Secrecy: Be cautious of calls that create a sense of urgency and ask you to keep the situation a secret.
• Verification Avoidance: The caller may try to prevent you from verifying their story by urging you to act quickly.
• Unusual Payment Requests: Requests for payment through wire transfers, gift cards, or other unconventional methods are a red flag.

Protecting Yourself from Grandparent Scams

Protecting yourself from grandparent scams requires vigilance and verification. Here are some key steps to take:

• Verify the Caller: Ask the caller questions only your grandchild would know, or call your grandchild’s known phone number to confirm their whereabouts and situation.
• Stay Calm: Do not act impulsively. Take the time to verify the story and consult with other family members.
• Avoid Untraceable Payments: Never send money through wire transfers, gift cards, or other untraceable methods based on an unsolicited call.
• Educate Yourself and Family: Discuss these scams with family members so that everyone is aware and can take preventive measures.

What to Do If You Suspect a Grandparent Scam

If you suspect that you have encountered a grandparent scam, it’s crucial to act quickly to protect your information and report the scam. Here’s what you should do:

• Hang Up: End the call immediately if you suspect it is a scam.
• Verify the Story: Contact your grandchild or other family members directly to verify the story.
• Report the Scam: Report the scam to local law enforcement, the Federal Trade Commission (FTC), or your state attorney general’s office.
• Warn Others: Share your experience with friends and family to help them avoid falling victim to similar scams.