As seniors embrace the support of caregivers, their financial security can become vulnerable. A trusted caregiver, such as a worker at an independent living facility, a health companion, or even a family member hired to provide supportive care, may have access to personal information, which poses the risk of potential fraud, such as opening unauthorized accounts, including bank, credit, and mobile phone or utility services. Making sure seniors are protected includes keeping their wallets safe from harm. With a few proactive steps, you can safeguard their finances—and their peace of mind.
Freeze Credit to Stop Fraud
Caregivers often handle sensitive documents, from medical records to bank statements, which can expose seniors to identity theft. The Consumer Financial Protection Bureau (CFPB) emphasizes that freezing one’s credit is a powerful defense against fraud. A 2020 AARP report noted that caregivers sometimes exploit trust to open credit accounts, and what’s more, the perpetrators are more likely to be family members. Freezing credit with Equifax, Experian, and TransUnion prevents new accounts from being opened while it’s frozen. It’s free, doesn’t affect your credit score, and can be temporarily lifted for legitimate reasons, such as applying for a loan, housing application, or pre-qualification for credit offers. Contact each bureau individually to make a freeze or thaw request for your senior’s credit via online, mail, or telephone. To process the request, verification details must be provided, including SSN and date of birth (DOB). Keep careful records of any online profiles created or PINs for future use. If you have power of attorney for an incapacitated adult, you can place a credit freeze for them, however, you must provide additional documents by mail. Instructions can be found at TransUnion, Equifax, and Experian. If a caregiver tries to open an account, they’ll quickly hit a roadblock—keeping your loved one’s finances intact.
Silence the Scammers
Telemarketers prey on seniors, pitching fake deals that lead to financial scams. Registering your phone numbers—both landline and mobile—on the National Do Not Call Registry at donotcall.gov can help reduce unwanted calls. The Federal Trade Commission (FTC) released a 2024 Data Book outlining that nationwide, over 283 million phone numbers are registered on the Do Not Call Registry. It’s a simple step: enter the number, verify via email, and report violations if scammers persist. For seniors with caregivers, this reduces the risk of manipulative calls slipping through. Contact landline/VoIP providers to add additional call blocking features to the line. For mobile numbers, combine Apple’s iPhone Silence Unknown Callers feature or the Google Phone App, with call-blocking apps, for an extra layer of protection for seniors.
Protect Their Accounts
Beyond credit freezes and call registries, proactive care is key. Regularly check seniors’ bank and credit card statements for unauthorized charges—investment and imposter scams are the most prevalent, according to the FTC. Account alerts for your senior’s bank or credit cards can be set up to catch suspicious activity quickly. These alerts can include individual transactions, transactions exceeding a predetermined dollar amount, or low balance warnings. Educate caregivers about their role, ensuring they understand financial boundaries, such as not opening postal mail or accessing a senior’s email account. Designate a trusted family member to monitor accounts monthly, catching discrepancies early. Use two-factor authentication on financial apps to add an extra layer of security.
Stay Vigilant
Protecting seniors means staying one step ahead. Review credit reports annually via AnnualCreditReport.com for errors. If a caregiver’s access raises red flags, limit their handling of financial documents. Sign up for the USPS Informed Delivery service to stay informed about threats arriving via postal mail, such as solicitations and other predatory offers. Open communication with seniors about their finances fosters trust and empowerment. By freezing credit, blocking scam calls, and monitoring their accounts, you create a fortress around their financial security.
At Organized Instincts, our daily money managers help seniors and their families build robust financial protections against fraud. Contact us today to discover how we can support you in safeguarding your loved one’s financial future.