Financial Exploitation of Seniors: Who’s at Risk and How to Prevent It

As a lawyer dedicated to advocating for seniors and their families, I've witnessed firsthand the devastating impact financial exploitation can have on elderly individuals. Financial abuse of seniors isn't just morally reprehensible—it can completely derail a senior's retirement, drain their life savings, and cause severe emotional distress.

While most of our work involves claims against nursing homes, any abuse of seniors is disheartening, and practically all can be prevented. Let's take a look at how.

Who’s Most at Risk?

While financial exploitation can happen to anyone, seniors are particularly vulnerable. Risk factors include:

• Cognitive decline or dementia: Seniors with impaired judgment or memory are especially vulnerable.

• Isolation and loneliness: Predators often target seniors who have limited contact with friends, family, or caregivers.

• Dependence on others: Seniors relying heavily on caregivers or family members are at increased risk.

• Substantial assets or regular income: Seniors with significant financial resources or consistent income from pensions and Social Security can become targets.

Common Forms of Financial Exploitation

Understanding how exploitation occurs is critical in recognizing and preventing it:

• Theft or embezzlement by caregivers, family members, or trusted individuals.

• Fraudulent schemes like phony investments, lottery scams, or fake charities.

• Coercion or manipulation into altering wills, trusts, or powers of attorney.

• Identity theft leading to unauthorized credit use or draining bank accounts.

Prevention Strategies

Protecting seniors from financial exploitation requires awareness and proactive measures:

• Stay Connected: Regularly check in with elderly family members or friends. Isolation is a breeding ground for exploitation.

• Educate Seniors: Inform your elderly loved ones about common scams and encourage skepticism toward unsolicited offers or communications.

• Monitor Financial Activity: Regularly review bank statements, credit reports, and financial documents for unusual activity.

• Establish Trusted Relationships: Encourage seniors to designate trustworthy individuals as power of attorney or financial advisors, ideally multiple individuals for checks and balances.

• Seek Professional Guidance: Legal and financial professionals can provide guidance, helping families establish protections such as trusts or guardianships when necessary.

  
  

Legal Action and Advocacy

If exploitation is suspected, swift action is critical. Victims or their representatives should:

• Contact Law Enforcement: Financial exploitation is a crime. Prompt reporting can stop abuse and protect others.

• Consult an Attorney: Lawyers specializing in elder abuse cases can help recover assets, pursue perpetrators, and strengthen protections.

Financial exploitation of seniors is a grave injustice, but awareness, vigilance, and swift action can make a difference. Together, we can safeguard the financial security and dignity of our seniors.