Anyone can be a victim of financial fraud. As we age, our ability to manage personal finances and health can deteriorate, making us more dependent on others and vulnerable to financial exploitation and fraud. Other factors, such as stress, isolation, fatigue and even overconfidence, can play a role in the ability to recognize the fraudsters' game. A significant financial loss is often devastating for older adults who may have more difficulty recovering. The repercussions of fraud and financial abuse are not just financial; victims lose trust in others, tend to isolate themselves socially and may suffer from health problems such as depression or anxiety disorders.
According to the Canadian Anti-Fraud Center, older adults in New Brunswick lost more than $1.1 million in 2023 due to fraud and scams, with more than 70% coming from investment fraud and gambling schemes of urgent need of money. In the urgent need of money scheme (or the grandparents’ scam), the fraudster targets older adults and pretends to be a family member (often a grandchild) who is in trouble. Sometimes the scammer pretends to be a lawyer representing the member in difficulty. He calls to ask for money to be sent to him, but asks that the transfer remain secret, so as not to suffer reprimands from his parents.