Steps To Protect Against The Financial Abuse of Senior Adults
As people age, they often rely more on others for help, which can increase their vulnerability to financial abuse — especially for those facing cognitive decline or conditions like dementia. According to AARP, financial exploitation of adults aged 60 and older results in over $28 billion in losses each year. Fortunately, taking proactive steps and acting quickly when abuse is suspected can help prevent or limit the damage.
Financial exploitation can take many forms. It might involve someone pressuring or deceiving an older person into signing legal or financial documents, using or taking money or assets without consent, or limiting the person’s access to their own financial information. In some cases, it may also include charging for unnecessary services. While these are common signs, abuse can appear in other ways, and staying alert is critical.
One of the best ways to guard against financial abuse is to plan ahead with the help of an elder law attorney. A strong estate plan can include tools like powers of attorney and trusts that protect assets and ensure a senior’s wishes are followed. It’s important for the older person to meet privately with the attorney, even if someone else brings them to the meeting. This helps ensure the plan reflects their true intentions and not someone else’s influence.
Careful consideration should go into choosing the right people to manage financial affairs. While it may seem natural to choose a family member, that’s not always the best decision. For example, a financially struggling adult child with access to a parent’s account may be tempted to misuse the funds. An attorney can help assess whether an independent fiduciary would be a better fit or whether additional safeguards should be added—such as regular financial reporting or appointing someone who can oversee and remove a trustee if necessary.
If financial abuse is suspected, swift action is essential. The first step is to report the issue to Adult Protective Services or local law enforcement. From there, a trusted support network of family, friends, and professionals can help the older person recover emotionally and financially. An elder law attorney can also help by removing the abuser’s access to accounts, appointing a temporary fiduciary, and identifying the scope of financial losses.
Legal action may be necessary to recover misappropriated funds or property. Attorneys can work with financial institutions, file lawsuits, or seek resolutions through mediation or settlement. Although full recovery isn’t always possible, especially if the abuser is a close acquaintance or family member, formal complaints and legal proceedings can stop further harm.
In some cases, protective orders may be needed to keep the abuser away from the victim and their finances. An elder law attorney can also assist in establishing guardianship or conservatorship to ensure that a responsible party is managing the senior’s affairs going forward.
Our elder law attorneys are committed to helping you plan ahead to avoid financial abuse and take action if it occurs. If you’re concerned for yourself or a loved one, contact us for support and guidance.