Many scammers target older generations because of their perceived accumulated wealth or a possibly outdated understanding of the modern financial world. It’s important to know how to protect your aging loved ones — and yourself, as you get older — from financial abuse.
Recognize the warning signs early
Financial exploitation doesn’t always announce itself loudly, via a spam caller. Sometimes, the person draining your accounts is a trusted caregiver, a new friend or even a family member. You might notice unexplained withdrawals, sudden changes to wills or power of attorney documents, missing belongings or unpaid bills, despite having adequate funds.
Watch the behaviour of people around you or your aging parent. Scammers and abusers create isolation, discouraging contact with long-time friends, pushing away family members, controlling access to financial information and insisting on handling all money matters alone.
Build a strong support network
You shouldn’t navigate financial decisions in isolation, especially as you age. Having a trusted team can protect you far better than going it alone.
Your network might include a lawyer who specializes in elder law, a financial advisor, an accountant familiar with retirement finances and family members who respect your autonomy.
Schedule regular check-ins with this team. These conversations make it harder for one person to manipulate your finances without others noticing.
Set up safeguards before you need them
The best time to protect yourself is before problems arise. Consider these protective measures:
- Arrange automatic bill payments so you don’t fall behind if someone interferes.
- Set up account alerts that notify you of large transactions or changes.
- Designate a trusted contact at your financial institution who can flag suspicious activity.
- Create a power of attorney while you’re still sharp and clear-headed.
- Review your bank and credit card statements monthly. Yes, it’s tedious, but this habit catches unauthorized charges quickly.
Take action when you suspect abuse
Discovery is just the first step. If you believe financial abuse is happening, contact your bank immediately to freeze accounts, report the situation to an adult protection department or agency in your province or territory, file a police report and consult a lawyer about recovering lost funds.
Document everything. Save emails, texts, receipts and any evidence of unauthorized transactions. This paper trail is crucial if you need to pursue legal action.
In the end, being aware of how to protect seniors from financial abuse preserves the financial security you and your loved ones worked a lifetime to build. These steps put you in the driver’s seat, where you belong.
This article originally appeared on 50plusfinance and was syndicated by 50plusfinance and Newstex. It was legally licensed through the Industry Dive publisher network. Please direct all licensing questions to legal@industrydive.com.
