Elder Financial Abuse – What You Need to know
As the senior population increases, elder financial abuse will become more prevalent. It is important to be aware of signs and how to respond when you suspect that someone is being victimized. Financial exploitation is devastating for elderly people, both financially and emotionally. The Indianapolis attorneys at Frank and Kraft explain what elder financial abuse is. This type of abuse can be perpetrated by trusted individuals, such as family members, caregivers, or financial advisors. However, it can also be committed anonymously, especially in scams targeting older adults via deceptive phone or email calls, or fraudulent schemes. According to the U.S. Department of Justice, financial abuse is the most common form of elder abuse and is vastly underreported with an estimated 44 instances of financial abuse going unreported for every one that is reported.
Common Signs of Elder Financial Abuse
Recognizing elder financial abuse can be challenging because it is not always immediately apparent, and victims frequently do not report the abuse because they are embarrassed or because they are dependent on the perpetrator. Consequently, it is crucial to watch for signs of elder financial abuse, such as:
Unexplained Withdrawals or Transactions
: A sudden, unexplained withdrawal of large amounts of money from a senior’s bank account or multiple small transactions that add up to significant sums can be a red flag.
- Changes in Financial Documents: If an elderly person’s Will, Power of Attorney, or other estate planning documents have been changed unexpectedly, it might indicate that someone is attempting to gain control over their finances.
- Missing Possessions or Assets: When valuable possessions, such as jewelry or other assets, go missing, or if a senior’s home or property is sold without their full understanding, it could point to financial abuse.
- Unpaid Bills or Lack of Basic Necessities: If you notice that bills are going unpaid despite knowing that an elder loved one has the financial means to pay them, or if they seem to lack basic necessities like food or medication, this could be a sign that their money is being misused.
- Isolation or Withdrawal: Abusers often try to isolate seniors from family and friends to maintain control over them and their finances. If a previously social individual suddenly becomes withdrawn or isolated, this could be a cause for concern.
- Unusual Bank Activity: Look for any unusual patterns in their bank accounts, such as large transfers to unfamiliar accounts, new loans, or the sudden use of credit cards in ways that do not align with the elder’s normal habits.
- What Should I Do If I Suspect Elder Financial Abuse?If you suspect that an elderly loved one or someone you know is a victim of financial abuse, it is crucial to take immediate action. If you can, try to approach your loved one in a non-confrontational way and express your concerns. Other steps to consider are:
Review Financial Statements:
If you have access to financial records, review bank statements, credit card activity, and any other relevant financial documents looking for any transactions that seem out of place or unauthorized. Other steps to consider taking include:
- Review Financial Statements: If you have access to financial records, review bank statements, credit card activity, and any other relevant financial documents looking for any transactions that seem out of place or unauthorized.
- Report the Abuse: If you believe elder financial abuse is taking place, report it to the Indiana Adult Protective Services (APS). APS can investigate the situation and take steps to protect your loved one from further harm.
- Contact Law Enforcement: If you believe that a crime has been committed, such as theft, fraud, and exploitation of an elder, contact local law enforcement.
- Consult with an Elder Law Attorney: Contact an experienced elder law attorney who can help review estate planning documents, change fiduciary arrangements, or take legal action to stop the abuse. You may also need to discuss petitioning for guardianship over your loved one to prevent future victimization.
Do You Suspect Elder Financial Abuse?
For more information, please join us for an upcoming FREE seminar. Call the Indianapolis elder law attorneys of Frank & Kraft at (317) 684-500 for an appointment if you suspect that a family member is the victim of elder abuse. Mr. Kraft’s primary areas of expertise are estate planning and administration. He also assists clients in the areas Medicaid planning, federal taxation, corporate law, real estate, and corporate law.
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