Nearly 20% of people over the age of 65 have fallen victim to some type of fraud, whether it be an inappropriate investment, unreasonable fees for services or outright theft. Following is a rundown of just a few of the latest fraudulent schemes to watch for:

Medicare Scams

Medicare is complicated, and scammers know that fact all too well. They often send email or make phone calls to seniors purporting to be a Medicare employee and asking to “confirm” sensitive financial information, such as a bank account number, social security number or a credit card number. Medicare will NEVER ask for information in that manner, particularly financial information. Don’t be afraid to ask the caller for their name, phone number, title and the name of their department. Verify this information with Medicare before answering questions, even if the caller claims the information requested is needed to fix an error. You may also call the Health and Human Services Office of Inspector General at 800-HHS-TIPS if you suspect you’ve received a fraudulent call or contact a Medicare office to confirm a worker’s identity.

Debt Scams

Thieves can also target seniors who have recently lost their spouse. In a recent scam, a couple would scour obituaries and contact the surviving spouse claiming an outstanding bill or debt that must be paid immediately. They requested a check or credit card information to “avoid penalties and fines”. They took the money and were never heard from again. Ask any creditor for verification of a debt via a written confirmation with all details. Confirm outstanding balances and ask questions of all “collectors”.

Repair and Contractor Inflation

Beware of any contractor or repairman who would make the first point of contact offering to “fix” something or help with landscaping. These “workers” are often looking for someone to pay inflated rates for work that is either never completed or poorly done. If you are the person initiating contact for a repair or a contractor, make sure to get more than one estimate to ensure prices are reasonable. Check out contractors and servicemen through the Better Business Bureau and always confirm that they are properly licensed. If it’s something that is outside your knowledge area, ask a friend or relative for assistance in hiring a good, honest, insured contractor.

Don’t be a victim, trust your instinct and always:

• Ask questions;
• Confirm information;
• Make informed decisions;
• Ask a friend or relative for advice or assistance;
• Avoid giving sensitive information to callers or via email – including a social security number, credit card or bank account numbers or even a date of birth;
• Check out businesses with the Better Business Bureau or a local Chamber of Commerce.

Don’t be embarrassed to ask questions or ask for additional information. If a situation escalates, don’t be embarrassed to ask for advice or assistance on how to handle it. It’s always better to be safe than sorry.

Pyke & Associates, P.C. is a member of the American Academy of Estate Planning Attorneys.