New Legislation to Protect Elderly from Financial Fraud

Senators Katie Britt from Alabama and Kirsten Gillibrand from New York have teamed up to introduce a new piece of legislation aimed at safeguarding unprotected elderly retirees, dubbed the Confession (Guard) Act.

This Guard Act would enable state and local law enforcement agencies to utilize federal grant funding they already have to hire and train staff, as well as acquire resources to investigate financial crimes, including those involving blockchain technology. Additionally, it allows federal law enforcement to provide assistance using advanced tracing tools.

“These fraudsters often take advantage of gaps in local law enforcement, slipping through the cracks,” Britt noted. “I’m proud to stand with Senator Gillibrand on this Act, which aims to equip law enforcement with the necessary tools to pursue justice against these faceless perpetrators and take real action against financial fraud.”

Gillibrand, who is a prominent member of the Senate Aging Committee, emphasized that this legislation would aid institutions struggling to cope with these issues.

“Every day, scammers target our seniors, stealing their hard-earned money and personal information,” Gillibrand explained. “Local law enforcement often lacks the resources needed to hold these offenders accountable. Our laws will strengthen their capabilities, foster essential collaboration between federal and local agencies, and ensure that fraudsters face justice.”

The Federal Trade Commission reported that Americans over 60 lost over $1.9 billion to fraud in 2023, a number that surged to more than $2.3 billion in 2024—a 21% increase. In just the first quarter of 2025, losses reached $745 million, reflecting a rise of nearly $200 million compared to the previous year. Experts suggest that true losses could be even higher, estimating unreported fraud at $61.5 billion.

A pressing concern is the rise of a scam referred to as “pig slaughter,” where criminals create fake online relationships, often masquerading as romantic partners or investment advisors, to persuade victims to transfer funds. Many of these cases slip below the radar for federal intervention, which leaves state agencies ill-equipped to respond.

Hal Taylor, Alabama Law Enforcement Secretary, expressed concern over the impact of such scams, particularly on the elderly. “Many Alabamians, especially older adults, are falling prey to bad actors using cryptocurrencies to obscure their actions and evade prosecution,” he stated. “The Guard Act is crucial for equipping law enforcement with the necessary tools to tackle these crimes effectively.”

Amanda Sen, the director of the Alabama Securities Commission, welcomed the new law. “We commend Senator Britt for her efforts to address this issue. Those who have worked hard to secure their retirements deserve assurance that fraud won’t be tolerated,” Sen remarked. “Financial exploitation of older individuals is escalating rapidly, with scammers leveraging technological advancements to their advantage.”

Senator Rick Scott, who chairs the Senate Special Committee on Aging, joined in support for the bill, which builds upon the committee’s broader initiatives against fraud. “We’re eager to partner with Senators Gillibrand and Britt to protect aging retirees from deception,” Scott said. “This legislation will ensure local and state law enforcement gain access to vital tools, like blockchain tracing technology, used by the Justice Department to freeze stolen funds, thus enhancing their capability to investigate these crimes against vulnerable communities.”

Scott also pointed to the committee’s recent annual fraud report, highlighting a concerning surge in fraud driven by AI. “In 2024 alone, fraud cost seniors over $4.8 billion, while those aged 50-59 lost another $2.5 billion,” he revealed.

The Guard Act has gained approval from AARP and aligns with HR 2978, a bill introduced earlier in the year by Senators Zach Nunn from Iowa and Josh Gottheimer from New Jersey.

Britt has prioritized fighting financial fraud, particularly in relation to seniors in Alabama. At a Senate Banking Committee hearing in 2024, she remarked, “We definitely need to do more. We have to be more proactive and educate our population, especially the elderly.”

With the frequency of fraud against elderly individuals on the rise and tactics becoming more sophisticated, lawmakers are positioning the Guard Act as a vital tool for law enforcement to stay ahead of these threats, aiming to help all Americans enjoy their later years with dignity and financial security.