By Jordan Vallone
With thousands of older New Yorkers losing more than $200 million annually to scams, AARP New York is urging legislative leaders to join Gov. Kathy Hochul in including consumer protections in the final state budget to combat elder financial fraud.
A coalition — including the chairs of the state Legislature’s Aging Committees, other lawmakers, the state police superintendent and a credit union industry security expert — highlighted the growing crisis during a news conference Monday at the state Capitol.
More than 4,300 New Yorkers age 60 and older lost a total of $203.4 million in 2023, the fourth highest total of any state, according to an FBI report. That amounts to roughly $557,000 per day — or $23,200 per hour — lost to financial exploitation. The average victim lost $47,000.
“These numbers are appalling, and they’re made worse by the fact that so many of the victims are people who worked their whole lives to put aside funds for retirement, only to see much of it—or all of it—stolen through a financial scam,” AARP New York State Director Beth Finkel said.
Finkel called on Senate Majority Leader Andrea Stewart-Cousins and Assembly Speaker Carl Heastie to include fraud prevention measures in the budget to help financial institutions recognize and prevent scams targeting older adults.
“Where are financial institutions in helping to stop this crime? The big banks cannot sit idle on the sidelines,” Finkel said. “They need to work with the governor, Legislature and AARP to make sure their own customers have the protections they need.”
Hochul’s executive budget includes a provision to train bank tellers and other financial institution employees to recognize signs of financial exploitation. The measure would allow employees to place a hold on suspicious transactions and refer cases to law enforcement for investigation.
One of the most common scams targeting older adults is the “grandparent scam,” in which criminals pose as a relative — often a grandchild — and claim to need emergency financial help. Victims frequently withdraw cash to assist their “relative,” only to later realize they were deceived. Since scammers often request payment in cash, gift cards or wire transfers, victims have little chance of recovering their money.
State Sen. Cordell Cleare, chair of the Senate Aging Committee, praised AARP’s advocacy on the issue. “It is despicable that our beloved older New Yorkers would be targeted in this way,” Cleare said. “Every proactive solution must be on the table, including legislation I already passed this year establishing the Interagency Elder Justice Task Force.”
Assemblymember Gabriella Romero echoed the call for stronger safeguards.
“Elder fraud and financial abuse are a heartbreaking but all-too-common reality,” Romero said. “New Yorkers are losing hundreds of millions of dollars to these scams — often the retirement savings they worked their whole lives to earn.”
New York State Police Superintendent Steven James said scams targeting older residents are becoming more sophisticated, making it difficult for law enforcement to intervene before money is lost.
“With this legislation, the financial sector will have the authority to stop or delay payments when fraud is suspected,” James said. “This will prevent seniors from being stripped of their savings and give law enforcement a better chance of arresting the suspects before they escape with the stolen money.”
State Chief Cyber Officer Colin Ahern said financial exploitation of older adults has reached “alarming levels,” with cyber fraud losses rising rapidly.
“The rise in these crimes underscores the urgent need to pass the legislation proposed by Gov. Hochul,” Ahern said. “It will enable financial institutions to take action to prevent consumer losses and ensure law enforcement can investigate these crimes.”
For updates, follow AARP New York on X, formerly Twitter: @AARPNY, Facebook: AARP New York, and LinkedIn: AARP New York.
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Find out why AARP wants stronger elder fraud protection
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