Tips to Avoid and Prevent Being Scammed

• Sign up for the national “do not call” registry. Call 888 382 1222 from the phone number you want to register. You can also register online at www.donotcall.gov.
• Don’t sign up for any contests, sweepstakes, or “free” offers for anything.
• Shred financial documents and paperwork with personal information before you discard them.
• Close unused credit cards or bank accounts at least once a year.
• Protect your Social Security number. Give it out only if absolutely necessary or ask to use another identifier.
• Don’t give out personal information over the phone, mail or the Internet unless you know who you are dealing with.
• Don’t give out passwords for any of your accounts to anyone
• Don’t give out your credit card numbers to any strangers.
• Never click on the link provided in an e-mail if you don’t recognize the sender. It may contain a virus that can contaminate your computer.
• Don’t be intimidated by an e-mail or caller who suggests dire consequences if you do not immediately provide or verify financial information.
• If you believe the contact is legitimate, go to the company’s Web site by typing in the site address directly or using a page you have previously bookmarked, instead of a link provided in the e-mail.
• Don’t pay in advance for anything.
• Review all offers in writing.
• Be aware of being kept on the phone for a long time.
• Get a phone number and call the person back.Get a phone number and call the person back.
• Be wary of promises of quick profits, offers to share “inside” information, and pressure to invest before you have an opportunity to investigate.
• Be careful of promoters who use “aliases.” Pseudonyms are common online, and some salespeople will try to hide their true identity.
• Words like “guarantee,” “high return,” “limited offer,” or “as safe as a CD.” are red flags.
• Watch out for offshore scams and investment opportunities in other countries.
• If a company is not registered with the SEC or the Secretary of State where it is located.
• If a financial adviser cannot be found through FINRA.
• Don’t assume that people online are who they claim they are.
• Ask the online promoter whether-and how much-they are being paid to sell the product.
• Do business with people you know.
• Make sure you understand the investment before you invest your money.
• Take your time to make decisions.
• Be sure to talk over all financial decisions with a trusted family member, friend or financial adviser.
• Report any frauds and any potential investment frauds affecting Americans to local, state or federal regulators.
• Never make a check out to a financial adviser.
• Never allow statements or confirmations to be sent directly to your financial adviser without receiving copies
• Recommendations from a sales representative based on “confidential information”, an “upcoming favorable research report” a “prospective merger or acquisition,” or the announcement of a “dynamic new product.”
• Never act on a recommendation from your sales representative that you make a dramatic change in your investment.
• Pressure to trade the account in a manner that is inconsistent with your investment goals and the risk you want or can afford to take.
• Do not heed any assurances from your sales representative that an error in your account is due solely to a computer or clerical error. Insist that the branch manager or compliance officer promptly send a written explanation and follow up to make sure the error is fixed.

Perhaps the best prevention technique is to identify and research the persons, products and companies offering their services. The more education and understanding of the product features, especially investment products, the higher the level of scrutiny can be applied. In the event of any suspicious calls,emails or personal solicitations, report it to the proper authorities.

 Conclusion

The Retirement Industry Trust Association is committed to curtailing the spread of senior fraud. As the population ages and more Americans become senior citizens with “nest eggs,” they become greater targets for fraud and deception. The ease of access for criminals to contact seniors through the internet and telephone increases as more creative schemes emerge. Regulators are making significant steps to crack down on perpetrators but seniors must also take precautions to limit access by strangers. Particular attention should be taken when any solicitations involve investment pitches and research done by seniors to determine if the salespersons are properly licensed, educated and associated with reputable firms. The Retirement Industry Trust Association also works in conjunction with the various government agencies to research and report any fraudulent practices imposed on seniors and retirees. As an organization, RITA is building coalitions to work the Association of Retired Persons and the Better Business Bureau in order to curtail the spread of senior fraud.