Older Americans lost more money to fraud in 2025 than ever before. The FBI’s Internet Crime Complaint Center reports that victims aged 60 and over suffered $7.7 billion in total losses — a 59 percent increase from the year before.
The average loss per senior victim was $38,500. More than 12,400 seniors lost over $100,000 each. Investment scams were the single largest category of fraud. These are not abstract numbers. They represent retirees who trusted the wrong financial advisor and watched their life savings disappear.
The scale of the problem
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Federal agencies are now treating elder financial exploitation as a national priority. The SEC filed 26 enforcement actions specifically targeting elderly investor protection in the past two years. FINRA has expanded its disciplinary actions against brokers who recommend unsuitable products to seniors.
| Fraud category | Total losses (ages 60+) | Year-over-year change |
|---|---|---|
| All cybercrime losses | $7.7 billion | Up 59% |
| Investment scams (all ages) | $8.6 billion | Significant increase |
| Elder-specific investment fraud | $4.5 billion+ | Continued surge |
| Average loss per senior victim | $38,500 | — |
| Seniors losing over $100,000 | 12,400+ victims | — |
Sources: FBI IC3 2025 Annual Report; ABA Banking Journal; WFMD (April 2026); AARP.
How fraudsters target elderly investors
The schemes are not sophisticated. They are relentless. Fraudsters know that many retirees have substantial savings, limited technical knowledge, and a deep respect for anyone who presents themselves as a financial professional.
In one recent California case, Safeguard Metals LLC and its owner Jeffrey Santulan used high-pressure sales tactics to convince more than 450 elderly people nationwide to liquidate their retirement accounts. The victims bought overpriced precious metals and coins with markups between 51 and 71 percent. A California regulator ordered $51 million in relief. Santulan is now permanently barred from the securities industry.
The SEC also charged Joseph A. Rubbo and Angela Beckcom Rubbo Monaco of Coral Springs, Florida, with raising $5.4 million from 11 investors — most of them elderly — through unregistered penny stock promotions. The SEC alleges the pair misappropriated over $2.6 million for personal expenses. SEC Enforcement Co-Director Steven Peikin stated that the defendants “defrauded investors by stealing millions of dollars from elderly investors.”
What FINRA and the SEC are doing in 2026
Regulators are responding with both enforcement and structural reforms. The SEC returned $262 million to harmed investors in fiscal year 2025 and awarded $60 million to 48 whistleblowers. The agency has signaled that protecting elderly investors remains a top priority for 2026.
FINRA has taken a harder line as well. In early 2026, the regulator disciplined multiple brokers for recommending speculative penny stocks and other unsuitable products to retired and senior investors. Individual penalties have included suspensions, fines, and permanent bars.
But enforcement alone cannot solve the problem. A CFP Board comment submitted to FINRA in May 2026 highlighted a critical gap: approximately 25 percent of investor-won arbitration awards go uncollected. Those uncollected awards represent roughly 37 percent of all dollars awarded. The CFP Board urged FINRA to create an insurance mechanism or dedicated fund to guarantee payment.
| Regulatory action | Entity | Details |
|---|---|---|
| $51 million consumer relief order | California DFPI vs. Safeguard Metals | 450+ elderly victims; 51-71% markup on precious metals |
| $5.4 million penny stock fraud | SEC vs. Rubbo and Monaco | 11 elderly investors; $2.6M+ misappropriated |
| $160 million investment fraud scheme | SEC vs. Vincent J. Camarda | Long Island advisor; pleaded guilty |
| Permanent bar and $25K fine | FINRA vs. Keith M. D’Agostino | Steered retirees into penny stocks; $1.8M in losses |
| Record $80 million penalty | FinCEN vs. unnamed broker-dealer | Inadequate anti-money laundering compliance |
Why arbitration awards often go unpaid
Winning a FINRA arbitration award is not the same as recovering your money. If the broker or firm lacks assets, refuses to pay, or declares bankruptcy, investors can be left with a favorable decision and an empty bank account.
This is why the CFP Board’s May 2026 proposal matters. Under current rules, FINRA can suspend brokers who fail to pay awards within 30 days under Rule 9554. But suspension does not put money back in victims’ accounts. The board proposed an insurance mechanism or dedicated fund to close this gap. FINRA has not yet adopted the recommendation.
In the meantime, investors who win awards but cannot collect them must pursue collection through federal or state courts. That requires additional legal work, time, and expense.
Red flags every family should recognize
FINRA has issued specific guidance for families and caregivers. The warning signs are often visible before the money disappears.
Watch for sudden changes in spending patterns. This includes large withdrawals without explanation, new joint accounts with caregivers or advisors, or accounts closed early to avoid penalties. Pay attention if an elderly relative becomes unusually submissive to a new “friend” or advisor who suddenly appears in their financial life.
Other warning signs include pressure to grant power of attorney, switching to a new advisor after decades with the same firm, and receiving investment advice at free meal seminars. Be alert to promises of “risk-free” or “guaranteed” returns, especially on variable annuities or penny stocks.
What to do if you suspect fraud
The first step is documentation. Gather account statements, emails, text messages, and notes from conversations. Report the misconduct to FINRA through its investor complaint program and to the SEC through its Office of Investor Education and Advocacy.
Then speak with a securities arbitration attorney. Time matters. FINRA arbitration claims must be filed within six years of the event giving rise to the claim under FINRA Rule 12206. The sooner you act, the sooner you can preserve evidence and protect remaining assets.
How we can help
Haselkorn & Thibaut, P.A., operating as Investment Fraud Lawyers, represents victims of broker misconduct, unsuitable recommendations, and fraudulent schemes. Our partners are former Wall Street defense attorneys. We spent decades inside the firms that are now defending these cases. We know how they think, how they prepare, and where they are vulnerable.
Our firm has handled securities cases valued at over $520 million. We maintain a 98 percent success rate for investors and a Top 2 percent peer-reviewed rating from Martindale-Hubbell. We take cases on a contingency basis: no recovery, no fee.
If you or a family member has suffered investment losses and you suspect misconduct, call us at 1-888-885-7162. You can also reach us through our Florida office at (561) 556-2203, our New York office at (332) 286-4055, or any of our offices in Arizona, Texas, or North Carolina.
