Scammers Continue to Target Older Consumers by Pretending to Be Grandchildren in Trouble

In every version of this scam, the con artist plays on the emotions of a potential victim in order to get a fast response and easy payday

Each year thousands of older adults in the United States lose money to the so-called grandchild scam, in which fraudsters pose as a relative in urgent need of funds. The Federal Trade Commission received over 18,000 reports of this scheme in 2024, with losses exceeding $150 million. Scammers exploit natural trust and quick emotional reactions, often using phone calls, text messages or even social media. Knowing the warning signs and available resources can help families protect loved ones from falling prey to this heartless fraud.

How the Grandchild Scam Works

In the classic version, an older adult receives a call from someone claiming to be a grandchild or other close relative in distress. The scammer might say they are stranded overseas and need bail money or have been arrested and require immediate funds for legal fees. Variations include claims of a serious car accident, a medical emergency or trouble at school. To add urgency, the caller often pleads “Please don’t tell Mom and Dad” or “You’re the only one I can trust,” triggering panic and a quick decision to send money.

Modern Variations and Multi-Channel Attacks

Fraudsters now combine phone calls with text messages and social media. After an initial call they may send a text with a photo of the supposed grandchild in handcuffs or at a hospital. They register look-alike profiles on Facebook or WhatsApp, loading them with stolen images and fabricated posts to appear authentic. Some even forward voice mails from family members to create a false sense of legitimacy. Scammers also use spoofed caller IDs to make the call appear from a known family area code or contact.

Payment Methods That Make Recovery Impossible

Scammers insist on untraceable payment methods. Wire transfers through services such as Western Union or MoneyGram cost $20 to $50 but are gone the moment they are picked up. Gift cards from retailers like Apple or Google are equally irreversible once the code is revealed. Increasingly, fraudsters demand payments via peer-to-peer apps such as Venmo or Zelle or even cryptocurrency. Any request to pay by gift card or instant transfer is a clear scam signal.

Red Flags and Warning Signs

• Unexpected urgent call or message claiming a family member is in legal or medical trouble
• Insistence you send money immediately without questions
• Requests for wire transfers, gift cards or peer-to-peer app payments
• Spoofed caller ID matching a relative’s number or local area code
• Claims that parents or other family members must not be told
• Follow-up calls demanding more funds for bail, fines or fees

Verifying the Caller Before You Act

Never send money in response to a single call or message. Instead take these steps to confirm the story:

• Ask specific personal questions that only the real relative would know, such as a childhood nickname or recent family event
• Tell the caller you will call back and then dial the relative’s known number, or ask a different family member to check on them
• Call the local police department or the supposed jail to verify an inmate’s status before sending any funds
• Resist pressure to keep the situation a secret; genuine relatives welcome your involvement of other family members

Protecting Older Adults in North Carolina

North Carolina seniors and their families can take advantage of several local resources. The North Carolina Attorney General’s Consumer Protection Division handles scam complaints at (919) 814-5400. The Department of Health and Human Services Adult Protective Services hotline operates 24/7 at 1-800-624-3004 and can investigate suspected financial exploitation. AARP North Carolina also offers free educational materials and local workshops, visit aarp.org/money/scams-fraud for events near you.

Steps to Take If You or a Loved One Has Been Scammed

If money has been sent:

• Contact the payment provider immediately to request a recall or freeze, for wires call the sending company, for cards contact the retailer as soon as possible
• File a complaint with the Federal Trade Commission online at reportfraud.ftc.gov
• Report to the FBI’s Internet Crime Complaint Center at ic3.gov if digital payment apps or email were used
• Notify local law enforcement to create an official record and begin an investigation
• Place fraud alerts or freezes on the victim’s credit reports with Equifax, Experian and TransUnion

Preventive Measures for Families

• Establish a family code word or phrase known only to relatives, require it for any emergency request
• Maintain an updated contact list of children, grandchildren and close friends, and verify urgent calls against it
• Encourage seniors to share unexpected requests with a trusted friend or family member before acting
• Register phone numbers on the national Do Not Call list at donotcall.gov to reduce unsolicited calls
• Consider call-blocking services or apps that screen unknown numbers and flag potential spoofing
• Keep antivirus and anti-malware software current on computers and mobile devices to prevent phishing

Understanding Cognitive Exploitation

Scammers often target older adults experiencing memory loss or cognitive decline. They use rapid, scripted dialogues and emotional manipulation to bypass critical thinking. Regular check-ins by family members or caregivers and consultation with social workers can spot red flags early. If you suspect cognitive exploitation, contact Adult Protective Services immediately for guidance and intervention.

Empowering Seniors Through Education

Awareness is the best defense. Banks and credit unions in North Carolina offer free fraud prevention seminars. Libraries frequently host talks by local law enforcement on elder fraud. Encourage older loved ones to attend these sessions and share tips. Simple actions, pausing before sending money, verifying identities and involving others—can stop scammers in their tracks and protect hard-earned savings.

By staying informed about evolving tactics, maintaining open family communication and leveraging state and federal resources, older adults and their families can thwart the grandchild scam and keep both emotions and finances safe.