Retirement scams are becoming increasingly common, as criminals target those who have saved up for retirement. Criminals know that many seniors have a nest egg saved up, whether it is in a 401k, IRA, or other retirement accounts. They also know that seniors are often on a fixed income and may be more likely to take risks in order to make money.
Bill Schantz of Mid Atlantic Financial LLC will now take you through the different types of retirement scams and how you can avoid them.
Types of Retirement Scams
Medicare Beneficiary Scam
You receive a call from someone who claims to be from Medicare. They say that you need to update your information or that you are eligible for a new benefit. They will often ask for your Medicare number and may even say they need your Social Security number. This is a scam, and you should never give out your personal information to someone who calls you out of the blue.
Many Americans will pay for their funeral beforehand in order to save their family from any financial burden. Unfortunately, there are criminals that will target those who have done this. They will call or send a letter claiming to be from the funeral home and say that there has been a problem with the payment. They will ask for your credit card information in order to process the payment.
You should always be careful about giving out your credit card information, especially to someone who has called or written to you unsolicited. If you are unsure about a call or letter, you can always contact the funeral home directly to confirm.
Counterfeit Prescription Drug Scam
Unfortunately, this scam is becoming more and more common, as seniors are often prescribed many different medications. Criminals will call or send an email claiming to be from a legitimate pharmacy and say that they can sell you prescription drugs at a discounted price. They will ask for your credit card information and may even try to get you to give them your Medicare number.
Bill Schantz warns you against giving out your credit card information to someone who contacts you unsolicited, and do not purchase prescription drugs from anyone other than a licensed pharmacy. If you are unsure about a call or email, you can always contact the pharmacy directly to confirm.
Bill Schantz has listed some of the different types of retirement scams. It is important to be aware of these scams and to know how to avoid them. If you receive a call or email from someone claiming to represent a company or organization that you are not familiar with, do not give out any personal information. You can always hang up the phone or delete the email and then contact the company directly to confirm.
If you think that you may have been a victim of a scam, please contact your local law enforcement agency.