I read the latest edition of my AARP magazine the other day. I focused on an article regarding scams and the elderly. Seems my age makes me highly qualified in this department. Scammers might call me “essential”. The author outlines a list of several pitfalls that scammers use and the scammed fall for. According to the article scammers focus on your emotions. They often use electronic media to contact you. As I read the article, I recalled instances from my life that may have gone differently if people had succumbed to these emotional traps.
When I was elementary principal in Addison, I received a phone call from a guy in Florida who wanted to sell me a piece of property. It was “one of the last lake front lots”, and my phone friend had “put a hold on it for me”. I could put the $250.00 down payment on my credit card, and he’d fax me the final documents. I would sign them and fax them back. “You’ve got to move quickly, because we’ve only got a few left to sell.”
I declined.
The last few years of her life Mom needed assistance paying her bills. She occasionally paid vendors more than once, while other times she didn’t pay at all. When my sisters and I helped, we sometimes made matters worse. That was the road to double payments. When we agreed to have one of us take responsibility things improved.
One of the factors that contributed to the confusion was the massive number of requests from companies and causes seeking donations: save the whales, save the earth, save the children, eliminate all sorts of diseases and world poverty, buy gold coins or fancy dishware, decorate your home with collectible spoons, if you buy this will give you a free that. The list was endless. Mom saved all the mail in huge piles on her kitchen counters and dining room table. Sometimes legitimate invoices got lost in the shuffle.
It appeared these companies and causes were focused on the elderly. While I expect that most were legitimate businesses, they saw the elderly as “easy pickings”. Each time I visited I searched and destroyed. The massive number of such requests was overwhelming. While these requests may not have been actual scams, as far as I’m concerned, they ran a close second. They are emotional appeals for support, and I believe that if you respond to one, they share their success stories with others. The sharing results in additional appeals from similar organizations.
About twenty years ago, I got a call from my Uncle Harry asking if my son, Michael, was in Mexico. While Mike wasn’t living at home, I was confident that he wasn’t living large in Mexico. Uncle Harry went on to say that he had received a call earlier that day from a man claiming to be Michael. This Michael was “under arrest” by the Mexican authorities for illicit drug possession. He needed bail money.
Michael begged for financial assistance and followed the request with, “Please don’t contact my dad. He’ll kill me.”
I don’t recall the amount of money involved, but Uncle Harry was savvy enough to advise Michael to “Call your dad. If you need help, he’ll help. He may be angry, but he won’t leave you hangin. As for me, I’m not sending any money.”, and he hung up.
Uncle Harry contacted me. I followed up with Michael, and I expect the phony Michael moved on to another Uncle Harry somewhere in the world. The thing is not all Uncle Harrys are as smart as mine, so Michael bail money has found its way to scammers for years.
About four years ago Ruth and I decided to try to sell our house. We had no concrete plan for moving, but we were exploring our options. Our friend, Sally, had been our realtor for several years but she had moved to Myrtle Beach. Sally always gave us a break with the commission she charged. We both appreciated her support.
We identified a new realtor, Lisa, a young up and coming entrepreneur, and I shared my story of Sally’s generosity. I was seeking a break on the seven percent commission they charge. After much discussion, I agreed to pay the full commission if we received a “full offer” on the house. Anything less would result in a six percent commission. Both parties were happy with the compromise. If she represented us well, and got our full price, she’d make more money. We listed the house at $349,000, so the incentive was $3,490.00.
About a week after listing the property, Lisa called to tell us that she had received a cash offer of $348,990. The buyer was seeking a $10.00 discount. We set a time for later that day for Lisa to come to the house so we could respond to the offer.
The offer was all cash, “looking for a closing as soon as possible”, with an earnest deposit check of $5,000. The offer was from a doctor in Afghanistan and the check would need to be cleared through the international banking system. It would take a couple of days for it to clear. Then Lisa said, “This may be a scam. A similar offer went through a realtor in Jackson a couple of years ago. In the end the offer was fraudulent. We’ve contacted our attorney, and if you accept the offer, he’ll handle everything from this point forward.”
“What’s the risk for us?, I asked.
“Nothing really. If it is a scam you’ll have taken the house off the market, but you won’t have any legal exposure.”
Ruth and I signed on the dotted line and waited. Two days later we received a call from Lisa. “I’d like to come over and bring you up to speed about the sale.”
When she arrived she shared the following details. Earlier that day the buyer contacted the realty firm’s attorney withdrawing the offer. The buyer provided the following explanation. He discovered his wife was having an affair. They were getting a divorce and wouldn’t be moving to the States. Then he made the following request, “Since you have my deposit check, please return the $5,000 via direct deposit into my account.” He provided an account number and said he was sorry for the inconvenience.
The attorney declined. After further investigation he contacted the Afghan authorities and discovered the man had been involved in dozens of similar scams. They were trying to locate him so charges could be filed.
I guess you could say Ruth and I were involved in an international banking scam. Fortunately, the people representing us did their due diligence. Just a quick aside. If the deal would have gone through, I would have paid Lisa the full commission even though the offer was $10.00 short of being full. That’s the kind of guy I am. Ultimately, we took the house off the market.
Moving forward, I offer these suggestions. Avoid unsolicited phone purchases of any type, because the guy on the phone is not really interested in helping you. Read your mail carefully and dispose of unwanted appeals immediately. If your nephew is seeking assistance with bail money in Mexico, tell him to call his dad. When some guy in Afghanistan offers to buy your house, don’t count the money until you see the cash. And most of all, no matter what you do, be aware and beware.
Our moms certainly grew up in the same generation. Towards the end of my mom’s life I made a point of seeing her at least once a week. Every time I stopped by I would see a large pile of mail on her desk. If any solicitation mentioned veterans Mom saved it. I told her if the mail was not sent first class throw it away. She never did. She usually sent some donation to each one. Fortunately never more than $10.