The Federal Communications Commission (FCC) has issued a warning about a surge in “grandparent scam” calls, a type of fraud that often targets elderly individuals.
The alert comes after the indictment of over two dozen Canadians accused of orchestrating a grandparent phone scam that stole tens of millions of dollars from seniors across the United States.
The case involved a network of scammers who convinced elderly victims to send large sums of money — sometimes using cryptocurrency — to fake bail bondsmen, all while pretending to be family members in urgent trouble.
How the scam works
Grandparent scams typically start with a phone call where the fraudster impersonates a relative, often as a grandchild in desperate need of help. The scammer might say they’ve been involved in an accident or arrested, claiming they need money for bail or legal fees.
Sometimes, they will pass the phone to someone posing as a lawyer or public defender to further convince the victim that the situation is real.
The urgency of these calls, along with the use of familiar names and emotional appeals, can make it difficult to question the authenticity of the request. Victims are often told not to tell anyone else about the situation, a tactic used to prevent them from consulting other family members who could expose the fraud.
Signs you may be targeted by a grandparent scam
- Urgency and pressure: The scammer insists that you act quickly, often with emotional pleas or threats of dire consequences if you don’t send money immediately.
- Familiar but not quite right: They might not identify themselves clearly or will try to trick you into saying their name, which they can then use to impersonate the relative. One dead giveaway is that they don’t sound like your grandchild.
- Unverifiable details: They may claim to be in a foreign country or a situation where you can’t easily reach them.
- Requests for specific payment methods: Scammers prefer untraceable methods of payment like gift cards, Bitcoin, wire transfers or even cash delivery through a courier.
- Confusion and disorientation: The scammer may call in the middle of the night, hoping to catch the victim off guard and more likely to act without verifying the story.
What to do if you receive a suspicious call
If you suspect you’re being targeted by this scam:
- Hang up and verify: If the caller claims to be a family member in distress, hang up and call the family member on a number you know. Or call your child, their parent, and ask where the grandchild is. Don’t trust the phone number displayed on your caller ID, as scammers often use spoofing technology to disguise their identity.
- Consult someone you trust: Speak with a friend, neighbor or family member about the call. Scammers thrive on isolation and urgency, so consulting others can help you avoid making a hasty decision.
- Block the number: If you suspect the call was a scam, block the number on your phone.
- Report the scam: Notify the National Elder Fraud Hotline at 833-FRAUD-11 and file a complaint with the FCC if you believe you’ve been targeted.
What to do if you’ve already sent the money
If you’ve already fallen victim to a grandparent scam and sent money, it’s crucial to act quickly:
- Contact your bank or payment service immediately: If you used a wire transfer, payment app or any other financial service, notify them right away. Some services may be able to freeze the transaction or reverse the payment if it was made recently.
- Report the scam: Contact the FCC, your local law enforcement and the FBI’s Internet Crime Complaint Center to file a report. While it may be difficult to recover the funds, reporting the scam can help authorities track down the criminals behind it and prevent future victims.
- Alert family members: Let your family know what happened so they can be more vigilant and help you navigate the next steps.
