Financial exploitation of the elderly refers to the illegal or improper use of an older adult’s funds, property, or assets. This can involve scams, fraud, theft, or undue influence, often committed by family members, caregivers, or strangers.

Financial exploitation of the elderly is a prevalent issue. According to the National Council on Aging, approximately 1 in 10 Americans aged 60 and older have experienced some form of elder abuse, including financial exploitation. The actual numbers are likely higher, as many cases go unreported.

Common types of financial exploitation targeting seniors include identity theft, investment fraud, lottery and sweepstakes scams, Medicare fraud, and abuse of power of attorney. Additionally, seniors may be coerced into signing documents they don’t understand or giving away assets without realizing the consequences.

Signs that an elderly person might be a victim of financial exploitation include unexplained withdrawals from bank accounts, sudden changes in financial condition, missing belongings or property, unpaid bills despite having sufficient funds, and the appearance of new “best friends” or caregivers who show unusual interest in the senior’s finances.

Seniors can protect themselves from financial exploitation by staying informed about common scams, regularly monitoring their financial accounts, and being cautious about sharing personal information. They should also consider setting up direct deposit for checks, creating a power of attorney with someone they trust, and seeking advice from financial advisors or attorneys when making significant financial decisions.

Family members can safeguard their elderly relatives by maintaining open communication about financial matters, helping to monitor financial accounts for unusual activity, and ensuring that legal documents such as wills and powers of attorney are in order. They should also educate their elderly relatives about common scams and encourage them to report any suspicious behavior immediately.

If financial exploitation is suspected, it is crucial to act quickly. Contact local Adult Protective Services, law enforcement, or an elder law attorney for assistance. Additionally, inform the senior’s financial institutions to place holds on accounts if necessary, and gather any evidence of exploitation, such as bank statements or suspicious documents, to support the investigation.