Who is most at risk of being scammed?
A response by Jon Caldwell, Security Consultant, at Caldwell Security.
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There are a range of different type of Scams, which can be either by e-mail, text, telephone, post, or doorstep, can be sophisticated, and usually involve some type of urgency, to try and get the Victim to take immediate action.
Research shows that many people think of the stereotypical ‘Financial Fraud’ Victim as a frail, elderly person, living alone, who probably has reduced cognitive functions. This type of person is more likely to be a victim of ‘Financial Abuse’, by a caretaker, or relative, although some will fall victim to other types of fraudulent activity.
‘Financial Fraud’ victims are often those who think they are not at risk, and men over 70 years, who are risk-takers, can be at greater risk of fraud. But data shows young millennials are at the highest risk of being scammed by Financial Fraud events, especially if they tend to view money, and wealth, as signs of success, and to them acquiring wealth is an important achievement in life.
The most likely Victim’s will welcome investment sales pitches and, even after being scammed, will continue to open, and even seek, new and unconventional investment opportunities. They are more likely to entertain unsolicited telephone calls, letters and e-mail, regarding investment opportunities.
A Victim’s emotional state can also play an important part in whether they will be successfully scammed. Older people are more susceptible when emotions are high, and it doesn’t matter whether the emotion is positive or negative, excitement, or anger, the risk of being scammed increases.
Citizens Advice say statistics indicate those aged between 40 and 60 years are most affected by Scams, particularly cybercrime, probably due to the fact they are most likely to report scams. It is suspected they are more likely to be targeted, because they tend to be more settled, have access to larger financial assets, and are more at risk to Pension scams, Dating scams, and Property scams.
Research indicates older people are often targeted, with 75 years being the average age, and those over 70 years tending to be more susceptible to Telephone, and Postal scams. This group is also at the highest risk of being repeat victims of scams.
Socially isolated people can be the hardest to reach, and often aren’t able to access the same support and help that others can, and although they make up a smaller percentage of overall victims, they often have the highest level of detriment, not only in the size of the amount of money lost, but also the overall impact on their health and wellbeing. Citizens Advice data indicates those with a disability, or with long-term health conditions, were more likely to be victims of Phishing, and other Banking scams, as well as Prize draw, and Lottery scams.
Fraud Prevention organisations have indicated there has been a sharp increase in the number of under-25s hit by scams, in particular victims of on-line and identity fraud. Action Fraud reported young people are at risk from their use of Social Media, with a significant increase in the number of people approached on Instagram, but research shows over 50% of young people are unlikely to report scams.
Age UK reports that 43% of older people, almost five million people aged 65 years and over, believe they have been targeted by scammers, with those with dementia at particular risk. Because older people are more likely to live on their own, and are often lonely, they can become targets of Fraudsters, and Age UK reports, in one study it found 27% of single people responded to a scam, compared to only 10% of their married counterparts.
For some people their only form of social contact is with Commercial Organisations, whether legitimate, or fraudulent. They often receive telemarketing telephone calls, e-mails or letters, or are more likely to open the door to a scammer purporting to be a bona fide Salesman, or Tradesman. The average age of mass-marketing Postal Fraud Victims is 75 years.
Once people realise, they have been scammed, they often feel ashamed, and so will seldom report what has happened, and it is estimated only 10% of victims actually report the crime. Once a person has fallen victim to a scam, they are often added to a ‘sucker list’, which is sold on the ‘dark web’ to other Criminals, and so they become targets again, and again.
If you believe you might be at higher risk of being scammed, or you have been previously scammed, and are concerned you may become a target of Fraud in the future, then you may want to consider joining the low-cost Caldwell Security Scam Prevention Service, details of which you can learn more about by clicking HERE
Caldwell Security Consultants will provide, no obligation, security mitigation recommendations, but they do not provide installation, or supply, of any security products.