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Victim-assisted fraud in which seniors are conned into transferring money to criminals over the phone using PINs for prepaid debit cards was the topic of a hearing Wednesday by the Senate Special Committee on Aging, which also discussed how changes to card reloading methods might help.

Committee Chairman Bill Nelson, D-Fla., in his opening statement, discussed legislation he introduced with Sen. Joe Donnelly, D-Ind., the "Phone Scam Prevention Act," which would make it easier for seniors to know who is calling them.

The heads of three prepaid card companies – Green Dot Corporation, InComm, and Blackhawk Network, Inc. – testified on the measures they are putting in place to decrease fraud. Green Dot and InComm announced they would move totally away from the process of reloading cards with PINs – which can be given away to criminals – and toward a swipe method that requires the cardholder be present. Blackhawk said it will also offer the swipe method; it will also adjust its PIN-loading system to allow cardholders to use a more secure account that requires more identifying information, phasing out the use of scratch-off PINs.

All three companies plan for the changes to be final and for participating retailers to be in compliance by the end of the first quarter of 2015.