The head of the State Office for the Aging told lawmakers Tuesday a new tool that will launch in 2026 will help reverse an uptick in the number of older adults who fall prey to financial exploitation.
The financial exploitation of New Yorkers over age 60 is a rising issue that state lawmakers want to address next session as more seniors are victimized by common scams including fake charities, caretaker fraud, romance scams or financial abuse by professionals or people pretending to be a government official.
In January, the state will launch a partnership with SilverShield where older adults will be able to send a text, email or information about a suspicious call to get advice about whether it’s a scam or not.
State Office for the Aging Director Greg Olsen said at a public hearing about the issue in New York City on Tuesday he hopes it will equip older adults to better protect themselves.
“It will tell you the likelihood of is it a scam, is there a risk?” Olsen said during testimony. “Is it not? And what to do.”
Last year, the FBI reported crimes targeting older New Yorkers resulted in more than $257 million in financial losses — a 27% increase since 2023.
“More than 4,300 New Yorkers aged 60 and older lost over $203 million in 2023, averaging $47,000 per person,” Assembly Aging Committee chair Rebecca Seawright said at the start of Tuesday’s hearing in New York City.
“That is $557,000 lost every day, or 23,200 every hour, placing New York fourth highest in the nation,” she added.
The trend continues to worsen with 6,200 complaints filed in the state last year. And scams generated by artificial intelligence are growing more sophisticated, sending older adults into economic hardship and threatening their life savings.
Older New Yorkers falling for financial scams is on the rise, but it’s hard to track just how much.
“What’s reported is one case in 44, so it’s a lot bigger than it is,” Olsen said.
Olsen said state agencies must work together and partner with county Offices for the Aging to combat financial exploitation of older adults.
Scams are growing more sophisticated with the rise of AI, and several lawmakers said they regularly hear from elderly constituents who’ve lost their life savings to a scammer.
“Eighty-three percent of all household wealth is held by people over the age of 50,” Olsen said “Not everybody is sophisticated with tech, but you don’t need to be.”
The state agency supports more banks across the state, hiring full-time staff dedicated to fraud prevention.
Olsen wants lawmakers to explore proposals to limit freezing a person’s bank accounts after a scam so they can pay their prescriptions and rent on time.
But he says prevention is key, and the state must expand education outreach programs for older adults, their families and caregivers to reduce New York victims.
“We feature scam and fraud prevention in every newsletter, every social media post — we send it out through our AAAs, we have 1,242 vendors that we use,” Olsen said. “So there’s a lot that we’re doing, and a lot that we’re going to continue to do.”
Some state programs that fight scammers or assist victims of scams are federally funded. Panelists and lawmakers said they are concerned Congress will eliminate funds for adult protective services during the next budget fight in January. The conversation will likely be part of budget talks when they resume in Albany next session.