New York ? As the U.S. population ages, the elderly are becoming a prime target for financial abuse.

Sometimes the thief is a stranger who befriends a lonely senior. Other times it’s a caregiver with sticky fingers. In still other cases, it’s a telemarketer with “found money” to share, or even a member of the senior’s family who takes advantage of his or her declining mindfulness.

The National Center on Elder Abuse, a Washington, D.C., clearinghouse for elder rights advocates, estimates there may be as many as 5 million victims a year. But it acknowledges that no one knows for sure because there is no comprehensive data collection nationwide and because many seniors suffer in silence.

Linda Eagle, an expert on elder abuse, believes the majority of cases go unreported.

“Some of the elderly never know they’ve been scammed,” she said. “Those who do are often too embarrassed to talk about it. Or they’re afraid if they let on to their families, their families will see them as no longer capable of taking care of themselves and they’ll take away their independence.”

Eagle is president of The Edcomm Group, a consulting firm based in Fort Washington, Pa., that trains bankers on regulatory issues. She thinks financial institutions need to become more aware of “red flags” of abuse so that they can help protect their elderly customers. And she thinks that baby boomers, who begin turning 60 this year, need to become more aware of the problem.

“Those baby boomers still fortunate enough to have parents have truly elderly parents who may be vulnerable,” Eagle said. “And they themselves are growing older, so the problem will only increase.”

Caught in a scam

Families whose loved ones have been victimized say the thieves prey on seniors’ insecurities.

Patty Andresen, 57, of Newport News, Va., said that her 90-year-old father, John Patchin, was caught up in a telephone scam last year.

Her father, a retired army colonel who lives in a continuing care facility, received a phone call from someone who told him he had won $250,000 but that the money was hung up in a U.S.-Canadian customs office. If her father would send them $7,000 – in money orders – the prize would be freed and sent to him.

“A bell should have gone off that this was a scam, but it didn’t,” Andresen said.

Andresen, who operates a Visiting Angels in-home care service, said she accidentally found out about the scam when she ran across the bank withdrawal slips while looking for something else.

“He said, ‘I was hoping you wouldn’t find it. I’m so embarrassed. It was so stupid,'” she said.

She thinks that like many seniors, her father is “terrified he’s going to run out of money” so that when someone offers to send $250,000 in exchange for $7,000, “it doesn’t log in that you don’t get something for nothing.”

Steps to take

Larry Meigs, chief executive of the Visiting Angels in-home care service franchise in Havertown, Pa., said families need to be aware of how many different people play roles in a senior’s life, including caregivers, cleaners, physical therapists, repairmen and a host of others.

Meigs recommends that families “remove the temptations” by making sure there’s not a lot of cash in the senior’s home, that checkbooks and credit cards are locked up, and that there aren’t a lot of documents lying around with the senior’s Social Security number on them.

Bob Blancato, coordinator of the National Committee for the Prevention of Elder Abuse, said elder financial abuse is often perpetrated by family members, and that this form is particularly difficult to uncover and punish.

“There’s the stigma to admitting it’s happening in your own family and the difficulty of potentially turning in a relative” for the crime, he said.

His coalition has been pushing for enactment of federal legislation to help combat elder abuse, whether physical or financial.

Signs of abuse

The National Center on Elder Abuse points out that financial abuse can take many forms, but generally involves the “illegal taking, misuse or concealment of funds, property or assets.”

Linda Eagle, an elder advocate who works with banks, said some “red flags” that a senior is being victimized include:

¢ Sudden changes in an elder’s banking practices.

¢ Uncharacteristic and unexplained withdrawals of large sums by an elder or someone with power of attorney.

¢ Large credit card transactions or checks written to unusual recipients, including “salesman” or “cash.”

¢ Abrupt changes in a will or other financial documents.

¢ Sudden transfer of assets to a family member or acquaintance without a reasonable explanation.

¢ Complaints of stolen or misplaced credit cards or Social Security and pension checks.

¢ New signatories added to an elder’s account.

Bob Blancato, coordinator of the National Committee for the Prevention of Elder Abuse, said other signs of trouble can include:

¢ A recent acquaintance, especially anyone who suddenly takes up residence with an elderly person who had been living alone.

¢ Redirection of an older person’s mail to another address.

¢ Disconnect notices from utilities – or an eviction notice – against an elderly person who shouldn’t be having financial problems.

¢ A senior’s willingness to give out Social Security numbers and other information to telemarketers and other callers.