Elder abuse isn’t just mental or physical. Financial abuse of the elderly is severely underreported the world over. In the United States, it’s estimated about $30 million is swindled from unsuspecting seniors, an already vulnerable demographic. These 5 tips can be used to help prevent a loved one from getting taken advantage of financially.
Have the Money Talk
As uncomfortable as it may be to have talks with parents about how to manage their life, it may help them realize the brevity of the situation to have a discussion with a loved one about their financial future.
Maintain Checks and Balances
One of the biggest obstacles when getting older is the decline of mental functions. It becomes much more difficult to manage finances and legal documents that can be confusing enough on their own. When mental functions start to decline, it might be time to add a trusted family member to accounts to help monitor finances and pay bills.
Keep In Regular Contact
Most scammers and con artists go after anyone they perceive to be weak, vulnerable, and above all, isolated. These scammers are more often than not people elderly people know well; caregivers, family friends, and relatives are the top three. The longer abusers have to work on their plan, the more funds and resources they can siphon from their targets. One of the single most effective ways to counter their plans is to have a strong presence within someone’s life, whether that be having constant awareness (such as phone or video calls, check-ups from trusted friends in the neighborhood) or actually showing physical presence, even if that includes just an occasional visit.
Establish Power of Attorney and Authorizations
While an elder is still of sound mind, it is wise for them to establish a financial power of attorney so that a trusted individual can exert control over the person’s finances. Most organizations can only respond to specific records if Personally Identifying Information (PII) is given to a representative or proof of financial power of attorney can be provided.
Practice Common Safety Disclosure
Phone calls from scammers, door to door salesmen, and mail sent to elders are all tricks implemented to steal their money. Encouraging an elderly loved one to exercise caution when providing personal and financial information and to ask a trusted person for a second opinion before making financial decisions can help ensure seniors are protected.
When older people are financially exploited by caregivers, nursing homes, or scammers, they may be able to recover compensation by filing an injury claim. Although recovering compensation from an individual person may prove difficult, nursing home facilities and other organizations can often be held liable when their employees financially abuse elderly people.
