AARP Fighting for You Against Fraud

Providing relief and support for victims

• Tax Relief for Victims of Crimes, Scams, and Disasters Act (S.1773/H.R.3429): This legislation would reinstate the casualty and theft loss deduction, better ensuring fraud victims don’t have to pay taxes on stolen funds. Currently, if you have money stolen from retirement or other taxable accounts, the IRS may tax you on money you already lost to criminals. This legislation will help end the injustice currently built into the tax code by allowing victims to deduct the amounts stolen from them on their tax returns. Reps. Steube (R-FL) and Panetta (D-CA) and Sens. Moody (R-FL) and Baldwin (D-WI)
• Improving Social Security’s Service to Victims of Identity Theft Act (S.1666): This legislation would streamline and improve the assistance provided by the Social Security Administration to individuals whose Social Security numbers have been stolen or misused. Identity theft and fraud are at an all-time high in the United States, and the range of fraud that can be committed with a stolen Social Security number is truly staggering. Senators Grassley (R-IA) and Hassan (D-NH) 

Improving consumer protections

• Ending Scam Credit Repair Act, or “ESCRA” (H.R.306): This bill would address issues in the credit repair industry. Credit repair organizations (CROs) often exploit customers by falsely promising to improve their credit scores. ESCRA would introduce new rules to shield consumers from misleading and fraudulent practices. Reps. McBride (D-DE) and Kim (R-CA)
• Homebuyers Privacy Protection Act (H.R.2808/S.1467): Signed into law by President Trump, this bipartisan legislation takes important steps to protect older Americans — who make up more than 75 percent of U.S. homeowners — from misleading and fraudulent solicitations during home transactions. By requiring consumers to opt in before their credit inquiry data can be sold and by limiting the use of mortgage “trigger leads,” the bill helps prevent scams that exploit major life events, such as buying or selling a home. Reps. Rose (R-TN) and Torres (D-NY) and Senators Hagerty (R-TN) and Reed (D-RI)
• Artificial Intelligence Public Awareness and Education Campaign Act (S.1699): This bill would launch a comprehensive public awareness, education, and consumer literacy campaign to educate consumers about the prevalence of AI in their daily lives. Empowering older Americans with this information will help protect against fraud and abuse and inform them of AI’s positive potential to assist with daily tasks. Sens. Rounds (R-SD) and Kelly (D-AZ) 
• Financial Exploitation Prevention Act. (H.R.2478/S.2840): This legislation would allow registered open-end investment companies and transfer agents to delay the redemption of securities when there is a reasonable belief that the request was made due to financial exploitation of an investor. AARP has advocated for similar laws across the United States, and thanks to our advocacy work, 43 states now have report-and-hold laws applying to the securities industry, and 26 have them applying to banks. This legislation builds on that work by providing critical tools to protect the lifesavings of older Americans from potential fraud and exploitation. Sens. Hagerty (R-TN) and Gallego (D-AZ) and Reps. Wagner (R-MO) and Gottheimer (D-NJ)
• Foreign Robocall Elimination Act. (S.2666,/H.R. 6152)The bill would establish an interagency task force led by the FCC, FTC, and DOJ to study call volumes, identify high-risk countries, evaluate consumer harm, and promote the global adoption of call authentication technologies such as STIR/SHAKEN. Sens. Welch (D-VT) and Budd (R-NC) and Reps. McDowell (R-NC) and Morrison (D-MN)
• Preventing Deep Fake Scams Act (H.R.1734/S.2117): This bipartisan legislation will establish a dedicated task force on AI in financial services that would include representatives from key financial services regulatory agencies, financial institutions, third-party vendors, and AI experts to explore the use of AI in the financial sector to combat and detect fraud. Sens. Husted (R-OH) and Warnock (D-GA) and Reps. Flood (R-NE) and Petterson (D-CO) 
• Quashing Unwanted and Interruptive Electronic Telecommunications (QUIET) Act (H.R.1027): The QUIET Act mandates transparency from robocallers, requiring them to disclose upfront when artificial intelligence is used to imitate human voices in calls or text messages. Additionally, the legislation doubles financial penalties for those who use AI to impersonate individuals, commit fraud, or obtain valuables under false pretenses. Sens. John Curtis (R-UT) and Richard Blumenthal (D-CT), and Reps Ciscomani (R-AZ) and Sorensen (D-IL)
• Safeguarding Consumers from Advertising Misconduct Act (SCAM Act) (S. 3774/H.R. 7548): The SCAM Act would establish strict anti‑fraud requirements for platforms that host paid advertising by mandating advertiser verification, preventing the use of stolen or synthetic identities, and implementing both automated and human fraud‑detection systems. It requires platforms to provide an accessible tool for users to report scam ads, investigate reports within 72 hours, notify the reporting user within 24 hours of completing the investigation, and remove confirmed scam ads within 24 hours. The FTC must issue implementing regulations within one year, update them annually, and enforce violations as unfair or deceptive practices under the FTC Act. The bill also authorizes State Attorneys General to take action against non‑compliant platforms and creates a private right of action for consumers harmed by fraudulent ads. Sens. Gallego (D-AZ) and Moreno (R-OH) and Reps Correa (D-CA) and Meuser (R-PA)
• Taskforce for Recognizing and Averting Payment Scams Act (TRAPS Act) (H.R.4936/S.2019): This legislation would protect older Americans from financial scams. This legislation would create a task force to combat digital payment scams. The task force — composed of financial regulators, institutions, and consumer advocates — would analyze fraud trends and develop strategies to enhance protections. Sens. Crapo (R-ID) and Warner (D-VA) and Reps. Nunn (R-IA) and Himes (D-CT)
• Dismantle Foreign Scam Syndicates Act (H.R. 5490): The bill targets the transnational criminal networks that steal billions of dollars from older Americans each year through increasingly sophisticated, technology‑enabled scams. The legislation establishes a federal task force—bringing together the State Department, Justice Department, Homeland Security, Treasury, and other agencies—to coordinate a whole‑of‑government strategy to dismantle overseas scam compounds, disrupt the criminal networks behind them, and hold corrupt foreign officials accountable. With older adults losing an average of more than $83,000 per scam, and many victims facing life‑altering financial harm, AARP’s endorsement underscores the urgent need for federal action to combat global fraud targeting older Americans. Reps. Jefferson Shreve (R‑IN) and Tom Suozzi (D‑NY)
• National Scam Prevention Coordination Act (H.R. 6681): This bill would create a National Fraud and Scam Prevention Office within the White House to unify federal efforts, advise the President and drive a comprehensive national strategy. By strengthening cross‑agency coordination and enabling better information‑sharing across government and the private sector, the legislation addresses longstanding gaps that leave older adults especially vulnerable. Reps. George Whitesides (D-CA) and Jefferson Shreve (R-IN)
• National Strategy for Combating Scams Act (S. 3355/H.R. 6425): This legislation would bring together federal agencies, consumer advocates, and industry leaders to create a coordinated plan to fight scams. By requiring collaboration across more than a dozen federal agencies, the bill helps cut through red tape, improve data sharing, and speed up enforcement when scams happen. It also makes sure the voices of those most affected—like older adults, survivors, and people with disabilities—are part of the solution. And importantly, it prioritizes making resources easier to access, providing for more effective recovery for those who’ve been targeted. Sens. Gillibrand (D-NY), Scott (R-FL), Kelly (D-AZ), and Moody (R-FL) and Reps. Amo (D-RI) and Shreve (R-IN)
• Scam Compound Accountability and Mobilization Act (SCAM Act) (S.2950): Fraud and scams continue to rise at alarming rates, with older adults suffering billions in losses each year. Many of these scams are perpetrated by transnational criminal organizations operating scam compounds overseas, where trafficked individuals are coerced into defrauding Americans under duress. The SCAM Act will bring together federal agencies, law enforcement, and international partners to develop and implement a comprehensive strategy to counter scam compounds. Sens. Cornyn (R-TX) and Shaheen (D-NH)
• Scam Mitigation Task Force Act of 2025 (H.R. 5967): This bill will bring together federal agencies, consumer advocates, and industry leaders to develop and implement a comprehensive national strategy to address scams. By leveraging existing government resources, better coordinating enforcement actions, improving recovery resources for victims, and providing public education, this legislation will help prevent scams and bring justice to those affected. Reps. Menendez (D-NJ) and Houchin (R-IN)
• Senior Security Act of 2025 (H.R.1469): This bill would protect senior investors from financial exploitation by establishing a Senior Investor Task Force within the Securities and Exchange Commission (SEC). The task force will coordinate across SEC divisions to strengthen safeguards and stop financial predators from stealing older Americans’ savings. Reps. Gottheimer (D-NJ) and Wagner (R-MO) 
• Stop SCAMS Act (H.R. 7215): This legislation would create a long-overdue, unified strategy to combat these crimes by tasking the Federal Bureau of Investigation (FBI) with organizing a coordinated, government-wide effort to prevent and respond to scams. It would also align inter-agency actions, definitions, and data to improve the efficiency and effectiveness of scam-fighting efforts. Reps. Harder (D-CA) and Fitzpatrick (R-PA)
• Veterans Scam and Fraud Evasion (VSAFE) Act (S. 2501/H.R. 1663): The bipartisan VSAFE Act strengthens the federal government’s ability to protect veterans and military retirees from increasingly sophisticated fraud schemes by establishing a Veterans Scam and Fraud Evasion Officer within the Department of Veterans Affairs. This dedicated official would serve as a centralized leader responsible for preventing, identifying, and responding to scams targeting veterans, improving coordination across VA offices and enhancing collaboration with other federal agencies. We know that veterans, active-duty service members and their families are nearly 40% more likely than civilians to lose money to scams and fraud. By improving communication, incident response, and accountability, the VSAFE Act will help safeguard veterans’ financial security, benefits, and well-being while addressing the growing threat of fraud targeting those who have served our country. Sens. Cornyn (R-TX) and Hassan (D-NH), and Rep Calvert (R-CA)

AARP’s federal comment letters

• AARP submitted a Statement for the Record for the September 18, 2025, House Financial Services hearing titled “Fraud in Focus: Exposing Financial Threats to American Families.” The statement underscores the dramatic rise in fraud losses — now averaging $83,000 per older victim — and details how scams not only drain retirement savings but also destabilize families and local economies. AARP describes its comprehensive fraud-prevention work and calls for stronger consumer protections, regulatory reforms, and coordinated enforcement to address the growing threat posed by transnational fraud networks. AARP urges Congress to invest in prevention, enforcement, and victim support to restore trust and financial security for all Americans.
• AARP submitted a comment in response to the Consumer Financial Protection Bureau (CFPB)’s advance notice of proposed rulemaking on “Fair Credit Reporting Act (Regulation V); Identity Theft and Coerced Debt.” AARP expressed support for the bureau’s efforts to protect older adults from the adverse financial impacts of elder abuse, including identity theft and coerced debt, which is debt caused through threat, force, or fraud. Identity theft and coerced debt have been the most common types of fraud reported to the AARP Fraud Watch Network Helpline for the past two years.  
• AARP submitted a comment responding to the CPB’s advance notice of proposed rulemaking on “Protecting Americans from Harmful Data Broker Practices (Regulation V).” AARP emphasized the role data brokers have played in facilitating fraud against older adults and urged the CFPB to put appropriate protections in place for the handling of consumer data.

AARP's successes in winning approval for stricter consumer protections at the state level

Multiple states: Prevent real estate scams. Thirty-three states enacted legislation against the predatory practice of unscrupulous real estate brokers who misled homeowners into signing decades-long agreements that gave the brokers the exclusive right to sell the homes. The bills enacted in these states are based on a model bill designed by AARP and other national stakeholders. It prohibits service agreements of more than one year, makes the agreements nonrecordable in the deed or property record, and blocks liens or encumbrances associated with the land. It also prohibits locking homeowners into exclusive long-term real estate listing agreements and imposes penalties on brokers who do so. Samar Jha, governmental affairs director for AARP, worked on developing the model bill and assisted the state offices in advocating for the legislation. (Learn more on this episode of AARP’s The Perfect Scam podcast.)

Multiple states: Curb gift card fraud (tampering and payment scams). States across the country have taken action to address gift card fraud. With AARP’s support, eleven states enacted new laws in the past year. West Virginia has acted so far in 2026, with legislation pending in eight additional states. Scammers commonly steal gift card value by pressuring victims to share card information or by tampering with cards before they are purchased. AARP is working to combat these schemes by supporting legislation that increases consumer education, strengthens reporting, and enhances penalties to deter fraud and protect consumers.

Multiple states: Regulate cryptocurrency kiosks. Twenty-eight states have passed anti‑fraud legislation or implemented regulations to protect users of cryptocurrency kiosks, also known as “crypto ATMs,” with eleven states acting so far in 2026 and nearly 20 additional states with legislation pending. Over the past several years, the AARP Fraud Watch Network has received a growing number of reports of criminals directing victims — often older adults — to pay through these machines, which resemble traditional bank ATMs but are far less regulated and typically offer no clear path to recover funds once a scam occurs. AARP’s advocacy focuses on regulating crypto kiosks as a high‑risk payment method used in fraud, not on regulating cryptocurrency itself. These protections include pushing for strong state laws that deter abuse and protect consumers through clear fraud warnings, access to live customer service, daily transaction limits, refund options for certain victims of fraud, and, in some cases, an outright ban. Indiana is the first state to enact a full ban on crypto kiosks, followed closely by Tennessee. (See our map of state laws related to crypto kiosks.)

West Virginia: Prevent legal claims from dying with the victim. West Virginia passed AARP-supported legislation that would ensure legal claims can continue even if the person who could recover or the liable person dies. In 2016, the Supreme Court of Appeals of West Virginia ruled that a claim for fraud does not survive the plaintiff’s death. The new law reverses this decision, protecting older adults from unfair debt collection practices and scams, which often exploit their vulnerability, knowing that cases may be dismissed upon death. 

Kansas, South Dakota and West Virginia: These states passed bills allowing financial institutions to briefly freeze a transaction or disbursement from a vulnerable adult’s account if they suspect that person is being exploited and report their concerns to authorities. Iowa passed a law that allows insurers to apply similar holds to insurance claims suspected of being related to exploitation.

Also on the state level: Restitution for victims

AARP is pursuing state legislation — a consumer fraud restitution fund — that would provide a means for a state’s attorney general to get money back to victims. Attorneys general collect civil penalty payments from consumer fraud enforcement cases every year. When there are victims associated with a case, the money collected is restitution and goes to compensate them. In most cases, excess money goes into the state’s general fund.  

Under AARP’s bill, excess money would instead be directed to a new fund. The state attorney general would use that money to pay restitution to consumers defrauded in cases in which the attorney general was unable to collect money from scammers. In 2025, Minnesota became the first U.S. state to create this state-level comprehensive consumer fraud restitution fund. Its fund will use half of the state’s undistributed civil penalty money — up to $5 million per fiscal year — for restitution.

Similarly, Nevada approved a securities fraud restitution fund this year, which will help reimburse victims of securities law violations using funds recovered from fraud cases. The fund is designed to assist those who have been awarded restitution but have not received full payment.  

More ways AARP is working for you

• AARP Fraud Watch Network leads an effort to fundamentally change how our country responds to the crime of fraud. The team reaches out to federal and state agencies, other nonprofits, the news media and consumers to change the narrative on fraud victims. The goal is to increase understanding that fraud is a punishable crime, the perpetrators are largely transnational organized criminal enterprises funding atrocities such as human trafficking, and fraud is not the fault of victims. We aim to convince federal and state law enforcement to do more to pursue these criminals. Learn more by watching a TEDx Talk by Kathy Stokes.
• AARP's award-winning BankSafe Initiative offers free online training to bank and credit union employees to help them identify and stop suspected fraud before money leaves a customer’s account. The initiative expanded to the retail sector to encourage frontline store employees to intervene when a customer appears to be buying gift cards at the direction of a criminal.
• AARP Fraud Watch Network’s site (aarp.org/fraudwatchnetwork) includes news on fraud and scam-fighting tips. You can sign up for biweekly Watchdog Alerts by email or text to stay on top of the latest schemes.
• The AARP Fraud Watch Network has a free Helpline, where trained volunteers can offer fraud victims support and assistance and online group support sessions.