March is Fraud Awareness Month in Saskatchewan, and with it come discussions about the myriad ways in which people can be scammed out of their money in the digital age.
Like any form of criminal enterprise, scams have evolved over the years; most of us know not to respond to requests for money from Nigeria or get excited when we receive an email saying we've won $5 million, but those are just the easy-to-spot scams. There are more sophisticated operations out there, and many of them target the elderly.
Among these is the so-called "grandparents" scam, in which a caller posing as someone's grandchild desperately needs money wired to them immediately. These scams can cost seniors, many of whom are on fixed incomes, thousands of dollars.
While some might assume they would never fall for such a trick, it's not always so simple, especially for older people who can be more willing to believe the person on the other end of the line.
"They just trust people more," said Cpl. Randy Wittig of the Humboldt RCMP. "They grew up in a time when a handshake was good enough for a person's word.
"A lot of victims think they're doing a good thing and it's a shock when they realize they're getting screwed over."
Doug Biehn, a certified financial planner at Viking Wealth Management in Humboldt, has also found that seniors are particularly susceptible to fraud.
"It always seems to be the seniors that are targeted the most," he said. "A lot of them have money saved for retirement. They also tend to be trustworthy and they're looking for financial help."
Wittig said there have been numerous instances of fraud in the Humboldt area and that solving these crimes is difficult.
"It's happened too often," he said, adding that solving these types of crimes is often a nightmare. "The money gets sent overseas, so it's almost impossible to trace."
People are often enticed into scams by one of two means: either there is some (alleged) family connection or the promise of a big, seemingly no-strings-attached payday - think one of those emails saying you'll win $5 million if you send a cheque for $5,000.
Fraud can be so endemic that Biehn keeps a list of five important rules that can help his clients avoid fraud. According to Biehn, the most important rule is to make sure the person you're dealing with is reputable. This can be done by looking them up through organizations like the Mutual Fund Dealers Association of Canada.
"Just because someone says who they are, that doesn't mean they really are that person," Biehn said.
He also encourages his clients to look for obvious signs of fraud, including the guarantee of a high return or the promise of inside information.
"Ask questions, verify results, and remember that a great word is no," Biehn said.
The importance of educating the public about the dangers of fraud is paramount, according to Wittig.
"We try to let people know about the latest frauds through media," he said. "We want to make sure people are aware and know what's going on around them."
Even if people know what's going on and are still caught in a scam, it's far from certain that they'll report it.
"Lots of these types of incidents go unaccounted for because of the embarrassment factor," Biehn said.
Members of the local RCMP have spoken at senior's homes in and around Humboldt to encourage potential targets of scams to be extra cautious. At the end of the day, though, there's a common sense trigger that Wittig said should hopefully kick in.
"If it sounds too good to be true," he said, "it probably is."
