Cyber Fraud: Who does it, and Why Are Seniors Targeted?

Over the past several years, cyber fraud against older adults has surged to unprecedented levels, costing victims billions of dollars. It is one of the largest ethical issues of technology today. The creation of the internet allowed fraud organizations to capitalize on elderly victims and expand their criminal organizations. This blog will examine who is responsible for cybercrime and why elders are the primary targets for scams. 

Cyber fraud stems from across the globe. Criminal organizations strategically build call centers which can be used to contact thousands of people per day. One scam operated from the Dominican Republic where scammers assumed the identity of an elder’s child requesting bail money urgently. Another worked from Ghana where perpetrators engaged in romance scams by exploiting elders’ need for companionship and pretending to be a romantic partner. Call centers in South Asia, particularly India, are one of the largest sources of cyber fraud. 

In the eyes of a cybercriminal, a senior citizen is the ideal target. In fact, nearly half of all cyber fraud victims are over 60 years old. A total of 724 million dollars has been stolen due to cyber fraud directed at elders. Elders are targeted for a range of financial and social factors. Key reasons for older individuals comprising a large portion of these cyber scams are a suspected accumulation of retirement savings, overly trusting nature, lower rate of enforcement, gap in technology literacy, and pressure tactics. Many seniors have accumulated money for retirement which cybercriminals view as a valuable target. Not only do criminals target wealthy senior citizens, but also middle- and lower-income seniors. Any perceived access to funds, perhaps through bank accounts or social security, will draw the attention of criminals. In addition to seniors being a prime financial target, they are also less likely to report or fight back against a scam. The FBI and FTC emphasize the underreporting of senior fraud. A lonely 80-year-old is less likely to pursue vigorous legal action than a corporation. Criminals recognize that their crimes are less likely to reported by seniors. Because of this, criminals target seniors, hoping that their crimes go unpunished. With age also comes cognitive decline; seniors are also less familiar with certain technologies than younger generations who grew up with them. These factors combined makes older generations even more targeted by cybercriminals.  

The next blog by Ethics Encoded will focus on the ethical issues of cyber fraud and ways to stay protected.