ALBANY, N.Y. – With thousands of older New Yorkers losing more than $200 million a year to scams, AARP New York is calling on legislative leaders to join Governor Hochul to include consumer protections in a final state budget to combat an ever-growing problem of elder financial fraud in New York State.
A coalition – the state Legislature’s Aging Committee chairs and other members of the Legislature, the Superintendent of the State Police and a credit union industry security expert –highlighted the elder financial fraud crisis in our state during a news conference at the State Capitol today.
More than 4,300 New Yorkers age 60 and older lost a total of $203,437,635 in 2023, the fourth highest of any state, according to an FBI report released last year. That’s $557,000 dollars a day – and $23,200 an hour – lost to financial exploitation. The average loss per victim in 2023 was $47,000.
“These numbers are appalling, and they’re made worse by the fact that so many of the victims are people who worked their whole lives to put aside funds for their retirement only to see much of it – or all of it – stolen through a financial scam,” said Beth Finkel, AARP New York State Director. “Because older New Yorkers have accumulated savings after a lifetime of work, they’re a prime target of scammers who are using increasingly sophisticated methods of gaining access to someone’s bank accounts or other financial resources.
“AARP New York is calling on Senate Majority Leader Andrea Stewart-Cousins and Assembly Speaker Carl Heastie to include key fraud prevention measures in the final state budget. These safeguards would equip financial institutions to recognize and help shield older New Yorkers from being scammed out of substantial amounts of money.
“Where are financial institutions in helping to stop this crime? The big banks cannot sit idle on the sidelines. They need to work with the Governor, Legislature and AARP to make sure their own customers have the protections they need. Banks need to get on board.
“Thank you, Governor Hochul for leading the charge, Aging Committee Chairs Senator Cleare and Assemblymember Seawright for championing this effort in your respective chambers, and Assemblymember Romero for your support.”
Governor Hohcul’s executive budget includes a crucial safeguard – training bank tellers and employees of financial institutions to identify signs of financial exploitation. These employees could place a hold on a suspicious transaction and refer the matter to law enforcement to allow them to investigate.
One of the most common and devious financial scams targeting older people is the “grandparent scam.” A criminal poses as a relative – usually a grandchild – asking for money, stating they are in an emergency. The older adult in many instances will go to their bank to withdraw cash to help the “relative.” Since fraudsters often ask to be paid via cash, gift cards or money transfer, which don’t always require identification to collect, the older adult may have no way of ever recovering their money.
State Senator Cordell Cleare, Chair of the Senate Aging Committee, said: “I commend AARP for their dogged focus on eradicating elder fraud. It is despicable that our beloved older New Yorkers would be targeted in this way. I believe that every proactive solution must be on the table, including legislation I already passed this year establishing the Interagency Elder Justice Task Force.”
Assemblymember Rebecca A. Seawright, Chair of the Assembly Aging Committee, said: “Older adults already face housing, food and healthcare insecurity. It is unconscionable that so many are left further devastated by financial scams. Investing in supports for older New Yorkers must also include establishing fraud protection mechanisms. In partnership with AARP and colleagues like Senate Aging Chair Cleare, I will continue to marshal every resource to protect aging New Yorkers and the quality of life that they have earned.”
Assemblymember Gabriella A. Romero said: “Elder fraud and financial abuse are a heartbreaking but all too common reality. I applaud AARP for fighting back to protect aging New Yorkers. New Yorkers are losing hundreds of millions of dollars to these scams – often the retirement savings they worked their whole lives to earn. I’m proud to stand up for these initiatives to protect people all across our state from predatory scams.”
New York State Police Superintendent Steven G. James said: “Our agency has witnessed a significant increase in the number of scams targeting the elderly, which have also become more sophisticated. While we diligently investigate each report, by the time we are notified, the money has already changed hands. With this legislation, the financial sector will have the authority to stop or delay payment of funds when fraud is suspected. This will prevent seniors from being stripped of their savings and give law enforcement a better chance of arresting the suspects before they can get escape with the stolen money.”
NYS Chief Cyber Officer Colin Ahern said. “Financial exploitation of older and vulnerable adults has reached alarming levels, with the losses from cyber fraud increasing at a rapid pace. As scammers become more sophisticated, older and vulnerable adults continue to face devastating financial harm. The rise in these crimes underscores the urgent need to pass the legislation proposed by Governor Hochul that will enable financial institutions to take action to prevent consumer losses resulting from financial exploitation and make sure law enforcement can investigate these crimes.”
Shane Shoemaker, President, Financial Crimes Bridge, said: “The Financial Crimes Bridge welcomes any additional tools to help better combat elder financial exploitation and to protect the members of our community from fraud, scams, and anything else that threatens their financial safety.”
Connect with AARP New York on X: @AARPNY, Facebook: AARP New York and LinkedIn: AARP New York
About AARP
AARP is the nation’s largest nonprofit, nonpartisan organization dedicated to empowering Americans 50 and older to choose how they live as they age. With a nationwide presence, AARP strengthens communities and advocates for what matters most to the more than 100 million Americans 50-plus and their families: health security, financial stability and personal fulfillment. AARP also works for individuals in the marketplace by sparking new solutions and allowing carefully chosen, high-quality products and services to carry the AARP name. As a trusted source for news and information, AARP produces the nation’s largest circulation publications, AARP The Magazine and AARP Bulletin. To learn more, visit www.aarp.org/about-aarp/, www.aarp.org/español or follow @AARP, @AARPenEspañol and @AARPadvocates on social media.
The post AARP NY: Scams Cost Older NYers $23K Per Hour in 2023; Senate and Assembly Must Join Governor’s Efforts to Stop It appeared first on EMPIRE REPORT NEW YORK 2025® NEW YORK’S 24/7 NEWS SITE.
