Wednesday, October 10, 2012

Scam Targets Seniors' Social Security Benefits

NEW YORK (CNNMoney) -- In a new scam targeting seniors and the disabled, identity thieves are fraudulently rerouting Social Security benefits to their own bank accounts and prepaid debit cards.

It's pretty straightforward: Identity thieves get their hands on the personal information they need, like a full name and bank account number. Then they contact the Social Security Administration and request that payments be rerouted to their own accounts.

That's what happened to 64-year-old William Combs, a disabled Vietnam War veteran from Brookville, Ohio. He said identity thieves have now stolen his tax refund, two months' worth of Veteran's disability benefits and most recently, one of his Social Security disability payments.

Combs said he immediately notified each agency about his missing payments. While he eventually received his tax refund, he still hasn't received the $5,400 in Veteran's disability payments that disappeared earlier this year. And it took about a month for him to get his $2,000 Social Security payment, after his benefits check didn't show up in the mail in August.

"My landlady is going to kick me out ... I went a whole month with nothing to eat but peanut butter and crackers," said Combs. "I had to take a loan from a credit union to pay rent one month, and I had to borrow money from my daughter to pay rent the other months -- and that's the last thing in the world you should do. I was crying when I asked her."

The Social Security Administration said it can't comment on or verify individual cases.

This article was copied from the CNN's website:  http://www.money.cnn.com/2012/09/26/pf/seniors-social-security-scam/index.html

Related:  Senior Victims lose Average of $140,500 to Financial Abuses.  Please visit