Spotting financial scams: how to protect the person you care for from fraud

When you're caring for someone with dementia, financial security becomes increasingly important. Unfortunately, people living with dementia can be more at risk because they can find managing money and assessing risk harder, making them vulnerable targets for scammers.

But with awareness and some simple protective measures, you can help safeguard their finances and maintain their independence. Understanding the warning signs and taking proactive steps doesn't require you to become a financial expert – just a caring advocate who knows what to look out for.

Common types of scams targeting people with dementia

Scammers often target people with dementia because they may struggle with memory, decision-making and recognising suspicious behaviour. Being aware of the most common scam types can help you spot them before any damage is done.

Phone scams are particularly prevalent and can be devastatingly effective. These might include fake charity appeals, especially around major events or disasters, investment schemes promising unrealistic returns, or calls claiming to be from banks requesting personal details. The caller often creates a sense of urgency, pressuring the person you care for to act quickly without thinking.

Door-to-door scams prey on people's natural politeness and desire to help. Fraudsters might pose as utility workers needing access to "check something urgent", offer home improvements at suspiciously low prices, or sell overpriced household items or services. They often target the same properties repeatedly once they've identified a vulnerable person.

Online and email scams are increasingly sophisticated. These include phishing emails that appear to be from legitimate banks or organisations, fake websites designed to steal login details, and pop-up messages claiming the computer has a virus.

Romance scams on social media platforms are particularly cruel, with fraudsters building fake relationships over months before requesting money for "emergencies". These scams are emotionally devastating and can be difficult to detect because they exploit the person's desire for companionship.

Warning signs your loved one may be being scammed

Early detection is crucial for limiting financial damage and emotional distress. There are several red flags that might indicate your loved one is being targeted or has already fallen victim to a scam.

Look out for unexplained financial changes such as unusual withdrawals, payments to unfamiliar organisations, new direct debits you don't recognise, or sudden interest in investments or prizes. If you help with their banking, setting up regular reviews can help you spot these changes quickly.

Behavioural changes can also be telling signs. The person you care for might mention new "friends" who need financial help, become secretive about phone calls or post, show unusual interest in competitions or sweepstakes, or receive excessive amounts of mail or promotional materials. They might also seem anxious about money or reluctant to discuss their finances.

Communication patterns often change too. Watch for increased phone calls from unknown numbers, emails from unfamiliar senders asking for personal information, or sudden interest in online activities they previously avoided.

It's important to approach these conversations with sensitivity. Rather than accusatory language, try asking open questions like "I noticed you've been getting lots of phone calls lately – is everything alright?" This creates space for them to share their concerns without feeling judged.

Practical steps to prevent financial scams

Prevention is always better than trying to recover from fraud, and there are many practical steps you can take together to reduce the risk.

Telephone protection is one of the most effective measures. Help them register with the Telephone Preference Service to reduce marketing calls, set up call blocking on their phone to filter unknown numbers, and create a policy of never giving personal information over the phone. You might also consider using a call guardian service that only allows through calls from approved numbers.

Banking security measures can provide excellent protection. Work with their bank to set up account alerts for transactions over a certain amount, establish you as a trusted contact who can be notified of unusual activity and consider setting daily spending limits on cards. Many banks offer enhanced security services for vulnerable customers.

Managing mail and online activity requires ongoing attention. Help them unsubscribe from mailing lists that send promotional materials, set up email filters to catch obvious scams, and ensure their computer has up-to-date security software. If they use the internet, spend time together learning how to identify suspicious websites and emails.

Creating support networks provides additional protection. Ensure trusted family members or friends know to check in regularly, establish who they should contact before making any significant financial decisions, and maintain a list of legitimate contact numbers for their bank, utility companies and other services.

Take a look at our information on setting up lasting power of attorney while your loved one still has capacity, as this provides legal protection for their financial affairs.

What to do if you suspect a scam

If you believe your loved one has been contacted by scammers or may have fallen victim to fraud, swift action is essential.

Immediate steps should include stopping any ongoing payments by contacting the bank immediately, gathering evidence such as emails, letters or details of phone calls and ensuring your loved one doesn't provide any additional information to suspected scammers.

Reporting the scam helps protect others and may aid in recovering funds. Contact Action Fraud on 0300 123 2040, which is available Monday to Friday, 8am - 8pm. to report the incident. You should also notify your loved one's bank, contact relevant organisations if their identity may have been compromised, and report suspicious emails to report@phishing.gov.uk.

Supporting your loved one emotionally is just as important as the practical steps. Being scammed can feel deeply embarrassing and upsetting. Reassure them that it's not their fault, that scammers are becoming increasingly sophisticated, and that taking action helps protect others.

Recovery and prevention should be your next focus. Review and strengthen security measures, consider whether additional support with finances might be helpful, and maintain regular check-ins to rebuild confidence. The Alzheimer's Society offers excellent resources on financial safety for people with dementia.

Moving forward with confidence

Protecting the person you care for from financial scams doesn't mean wrapping them in cotton wool or taking away their independence. Instead, it's about creating a safety net that allows them to maintain control while reducing risk.

Remember that anyone can fall for a scam, but people living with dementia can be more at risk. This isn't a reflection of their intelligence or capabilities – it's simply a consequence of how dementia affects judgment and memory.

The key is finding the right balance between protection and autonomy. Start with simple measures like call blocking and account monitoring, then gradually introduce other protections as needed. Regular conversations about money and any concerns they might have help maintain trust and ensure they feel supported rather than controlled.

If you're feeling overwhelmed by the responsibility of protecting your loved one's finances, remember that support is available. Age UK provides comprehensive guidance on financial security for older people.

Taking proactive steps to prevent financial scams is one of the most important things you can do as a carer. By staying informed, maintaining open communication and implementing practical protections, you're helping your loved one maintain their financial security and peace of mind. With vigilance and the right support systems in place, you can significantly reduce the risk of financial fraud while preserving their dignity and independence.