Des Moines, Iowa. – The Iowa Insurance Division is seeing an increase in elderly financial abuse and exploitations as social media, cryptocurrency, and AI expand.
According to the National Center on Elder Abuse, older Americans are estimated to lose about $2.6 billion every year due to financial abuse and exploitation.
The Iowa Insurance Division says the increase in elderly financial abuse is in result of the rise of social media. Scammers are seeking out older people on social media platforms to create friendships and romantic relationships. From there, these con artists ask the elderly to transfer money.
“Our older population has worked hard for their money. They saved. They have money, and the scammers know this, and they try to take it from them,” said Consumer Advocate of Iowa Insurance Division, Sonya Sellmeyer.
In some cases, older people are being asked to invest in cryptocurrency. Scammers like the cryptocurrency route because the Iowa Insurance Division believes older populations are not familiar enough with cryptocurrency. Con artists are even started to us AI to call the elderly using their loved ones voice.
“Don’t answer your phone. Don’t click on any links on emails or text messages, and if you do get an unsolicited offer or friendship even, be very cautious. Especially, if they start asking for money, especially if you have never met the person. Please stop and think,” said Sellmeyer.
Residents of Iowa are encouraged to contact the Iowa Insurance Division at 877-955-1212 or sfe@iid.iowa.gov if there is a possibility of financial exploitation.
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