South Tyneside family warns after elderly man loses nearly £3,000 to crypto scammers

An elderly South Tyneside man was duped by persistent crypto scammers who built trust over weeks, persuading him to move nearly £3,000 and promising huge returns. His family warn others to ignore unsolicited calls and online crypto pitches.

An elderly man in South Tyneside fell victim to persistent crypto scammers after a lengthy phone relationship that led to a costly investment. His family says the con began with a call about online banking and escalated into a convincing crypto pitch.

Over several weeks, the scammer cultivated trust, learning details about the man’s life and fabricating a story about free Bitcoin tied to his past work. They guided him through creating multiple bank accounts and finally transferring funds to a crypto platform, pieces that made the ruse seem legitimate.

In August, the man deposited nearly £3,000 with Coinbase under the scammer’s instructions. Attempts by relatives to halt or recover the money were unhelpful, and Coinbase notes the importance of researching investment opportunities and spotting scams.

Authorities including the National Fraud Intelligence Bureau, Action Fraud and the Financial Conduct Authority have been alerted. The family was told recovery is unlikely, underscoring the emotional and financial impact of crypto fraud on older residents.

Local education efforts

In Sunderland, the Pallion Action Group runs monthly sessions to educate pensioners about scams and how to protect their finances. Session leader Ken Newby emphasizes the challenge many seniors face keeping up with evolving scam tactics and technology.

Northumbria Police’s Claire Lawson warns crypto scams can be hard to trace since funds aren’t always visible through banks. Her guidance is clear: if you lack knowledge about crypto, don’t invest.

Key actions and prevention

Be wary of unsolicited phone calls claiming to offer help with online banking or investments.
Verify any crypto opportunity through official channels before transferring money or opening accounts.
Avoid sharing personal details or letting scammers guide you through account setup.
Report suspicious activity to Action Fraud or local police.

Key Takeaways

Crypto scams thrive on manipulation and trust-building via phone calls.
Always verify opportunities with trusted, independent sources before investing.
Keep a simple, monitored banking setup; be cautious about opening multiple accounts.

Expert comment: Crypto fraud is often rapid and hard to trace since funds move through cryptocurrency networks rather than traditional banks. Always consult a trusted adviser and verify the legitimacy of opportunities before acting.

Summary

This incident highlights the vulnerability of older adults to convincing crypto scams and the importance of proactive education. Local groups and police continue to stress the need for caution, verification, and reporting to reduce financial harm. Families are urged to maintain open conversations about online money matters to help protect loved ones.