Protecting Your Loved Ones: Understanding and Preventing Romance Scams 

 

As a Senior Wealth Advisor at The Jackson Group, CIBC Private Wealth, one of my priorities is helping families protect their financial well-being especially when it comes to loved ones who may be more vulnerable. Romance scams are on the rise, and seniors are being targeted with increasing frequency across Canada.

 

The Growing Threat of Romance Scams

 

Romance scams are now one of the fastest growing forms of fraud. In 2022, the Canadian Anti Fraud Centre received 1,420 reports of romance scams, representing approximately $59 million in losses. Among Canadians over 60, they are now the second most common type of fraud, with each victim losing an average of about $67,000.

 

Behind these numbers are real people often individuals who believed they had found genuine companionship, only to discover that the relationship was carefully fabricated for financial gain.

 

How Romance Scams Work

 

Scammers usually begin by creating convincing profiles on dating sites, social media platforms, or messaging apps. They often use stolen photos and false identities, and they invest significant time in building trust and emotional connection.

 

Common tactics include:

 

- Sharing frequent, affectionate messages and attention.

- Creating a sense of exclusivity and urgency in the relationship.

- Gradually introducing stories about financial difficulty, emergencies, or travel obstacles.

 

Once emotional intimacy is established, the scammer will typically ask for money sometimes framed as help with medical bills, travel costs, family emergencies, or investment “opportunities.”

 

Advances in artificial intelligence have made these scams even more convincing. Fraudsters can now generate realistic photos, fake documents, and even AI-enhanced chat or audio to make their stories appear authentic. Many operate outside Canada, which makes recovering funds extremely difficult once they have been sent.

 

Why Seniors Are Especially at Risk

 

Seniors may be more vulnerable for several reasons:

 

- Increased isolation or loneliness, especially after loss of a partner or changes in health.

- Less familiarity with online threats, social media, and emerging technologies.

- Perceived financial stability, which can make them attractive targets for fraudsters.

 

For individuals experiencing memory challenges or diminished capacity, it may be particularly difficult to recognize red flags or to disengage from a scammer once the relationship feels emotionally important.

 

Warning Signs to Watch For

 

Families can play a key role in spotting warning signs early. Concerns may arise if a loved one:

 

- Shows unexplained financial activity, such as sudden withdrawals, wire transfers, or new lines of credit.

- Becomes secretive about a new romantic relationship, especially if it exists only online.

- Expresses strong emotional attachment to someone they have never met in person.

- Avoids questions or becomes defensive when you express concern about the relationship or money.

 

Not every new relationship is a scam but these signs warrant a closer look and a thoughtful conversation.

 

What To Do If You Suspect a Romance Scam

 

If you believe a loved one may be involved in a romance scam, how you respond matters. Shame and fear of judgment often prevent victims from speaking up or accepting help.

 

Consider the following steps:

 

1. Start with empathy. Approach the conversation gently and without blame. Let your loved one know that your concern comes from care, not criticism.

2. Ask open questions. Invite them to share more about the relationship how they met, whether they have met in person, and whether money has been requested.

3. Gather information. If appropriate, preserve emails, text messages, transaction records, and other documentation. These can help clarify what has happened and may be useful if a report is filed.

4. Encourage reporting. Suggest contacting local law enforcement and the Canadian Anti-Fraud Centre to document the scam and receive guidance on next steps.

 

Legal Protections in Ontario

 

Ontario law offers tools to help safeguard vulnerable adults from financial exploitation. Two of the most important are:

 

- Power of Attorney for Property – While a person still has mental capacity, they can appoint someone they trust to make financial decisions on their behalf if needed.

- Court-Appointed Guardianship – If someone no longer has capacity and has not appointed an attorney, the court can appoint a guardian of property to manage their finances and protect their assets.

 

If you suspect that a loved one is at risk and is no longer able to manage their finances safely, seeking legal advice about these options can be an important step.

 

A Compassionate, Proactive Approach

 

Romance scams sit at the intersection of emotion, trust, and money. They can cause deep financial loss, but they also leave emotional scars feelings of betrayal, embarrassment, and grief.

 

Talking about these risks openly, checking in with older family members about their online interactions, and putting proper legal and financial safeguards in place can make a significant difference. These conversations are not about control; they are about dignity, safety, and care.

 

If this topic resonates with you, consider using it as a prompt to start a gentle conversation within your own family about online relationships, financial boundaries, and how you can support and protect one another.