Washington: Rapid digitization — and increasingly sophisticated online crime — is draining the life savings of older Americans. A new Federal Trade Commission (FTC) report shows that people aged 60 and above reported losing at least ₹20,000 crore (≈ $2.4 billion) to scams in 2024 — up 26% from 2023 and nearly three times the losses reported in 2020.
Cases in which a single victim lost over ₹83 lakh (≈ $100,000) made up 68% of total reported losses. But experts warn the real damage is far worse — because most victims never file complaints. The FTC estimates true losses among seniors may be as high as ₹6.7 lakh crore (≈ $81.5 billion).
Investment scams hit the hardest
The FTC says the biggest chunk of losses came from investment scams — scammers promise “guaranteed” high returns, then disappear with the money.
FTC Assistant Director Kathleen Daffan notes:
“Once the money is gone, it’s extremely difficult to get it back. Scammers quickly move funds into other accounts, often overseas.”
Not just seniors — everyone is at risk
Fraud affected all age groups. Overall consumer losses in 2024 totaled about ₹1.06 lakh crore (≈ $12.8 billion) — but factoring in under-reporting, real losses could reach ₹16.3 lakh crore (≈ $195.9 billion).
With inflation and retirement worries rising, these losses are deepening financial insecurity.
Banks and lawmakers respond
Banks are urging customers to add a “trusted contact” — someone the bank can alert if suspicious activity appears.
Meanwhile, the U.S. Congress is considering the Financial Exploitation Prevention Act, allowing financial institutions to temporarily delay doubtful transactions to prevent fraud.
How scammers reach victims
Criminals approach victims through emails, text messages, social media and online ads. Older adults most often fall prey to:
- Tech-support scams
- Prize/lottery scams
- Romance scams
- Imposters posing as government officials
Often a stranger earns trust, then pushes a “great investment” and asks for money.
Biggest red flag: urgency
Experts say the clearest warning sign is pressure to act fast.
If someone says: “Pay now or something bad will happen,” it is almost certainly a scam.
AARP’s Kathy Stokes adds:
“Scammers always insist — don’t tell anyone.”
If you’ve already paid
Contact the payment channel immediately:
- Gift cards: the card company
- Bank transfer/wire: your bank
- Crypto: the platform used
Still, the FTC admits recovery is difficult — and victims should never be blamed. Emotional harm is often worse than the financial loss.
What families should do
- Talk openly about scam
- Ask elders to double-check before big payments
- Follow fraud alerts and advisories
- Be extra cautious if someone asks for gift cards, crypto, cash, or wire transfers
The message is clear: scammers will keep innovating — but awareness and timely caution can prevent massive losses.
