Safeguard Your Loved Ones: Combatting Elder Financial Exploitation

June is Elder Abuse Awareness Month which serves as a crucial reminder to protect our vulnerable seniors from various forms of abuse, including elder financial exploitation (EFA).  This form of abuse involves the misappropriation of senior’s money, property, or financial resources for someone else’s gain. 

Financial exploitation refers to two types of financial crimes committed against older adults: 

• Financial abuse (committed by someone you know) and financial fraud (committed by a stranger), both result in serious financial, physical and emotional harm to older adults.¹
• People who commit these financial crimes may use charm, persuasion, lies, threats and a variety of other approaches. Their goal is to separate older adults from their money.²
   

Understanding the Threat:

Elder financial exploitation is widespread and often goes unreported. Perpetrators can be individuals known to the elder, such as family members, caregivers, and friends. As well as strangers targeting them through scams online posing as telemarketers, or cybersecurity companies. The exploitation can happen in various forms, including:

• Abusing power of attorney or guardianship privileges. 
• Scams and fraudulent schemes:
  • Telemarketing Scams: these scams involve unsolicited calls offering fake prizes, investment opportunities, or claiming the elder owes money to the IRS. 
  • Romance Scams: Perpetrators build online relationships with elders, gaining their trust and exploiting them for money.
  • Grandparent Scams: Imposters posing as grandchildren call, claiming to be in trouble and needing immediate financial assistance.
• Undue influence or pressure to make financial decisions, and/or changing wills or beneficiaries. 
• Isolating elders from family and friends to gain control over their finances. 

Protecting our Elders:

• For Families and Caregivers:
  • Educate yourself and your loved ones: Learn about EFA common scams, warning signs, and protective measures. 
  • Open communication: Talk openly about finances with your older family members will not only foster trust, it will create an environment where they feel comfortable sharing their concerns.
  • Review financial statements: Review financial statements and credit reports for suspicious activity. 
  • Seek professional help: Consider consulting financial advisors or elder law attorneys for guidance. 
  • Report suspected fraud: If you believe they are being targeted, report it immediately to Adult Protective Services or local law enforcement agencies. 

By raising awareness and taking preventive measures, we can create a safer environment for our seniors, ensuring they are empowered and protected from financial exploitation.

If you think you may be a victim of a scam, report it to Adult Protective Services, your financial institution and your local police.