As America’s population continues to age, one troubling trend is gaining momentum: financial exploitation of older adults. Seniors are often targeted by scammers and abusers, not just because of vulnerability, but because they control a large share of the nation’s wealth.
This type of abuse isn’t always committed by strangers. Often, it comes from those closest to the victim: family members, caregivers or trusted acquaintances. The consequences can be emotionally, mentally and financially devastating.
What Is Elder Financial Exploitation?
Elder financial exploitation is the unauthorized or improper use of an older adult’s money, property or assets. It's the fastest-growing form of elder abuse in the U.S. and can strip victims of their independence and long-term security.
How Does it Happen and Who's Behind It?
This isn’t just about phone scams or phishing emails. Financial exploitation can also take the form of coercion, deception or misuse of authority by individuals the victim trusts. These abusers might manage accounts, handle financial decisions or simply have access they’ve come to misuse.
How Seniors Can Protect Themselves
Encourage seniors to take proactive steps to safeguard their finances, including:
- Assigning a trusted power of attorney or financial caregiver to assist when needed.
- Keeping financial documents secure, especially when others are in the home.
- Shredding sensitive paperwork before discarding to prevent identity theft.
- Regularly reviewing account statements and credit reports to spot any unusual activity.
- Being cautious with unsolicited calls or emails asking for personal or financial information.
- Taking time to consider financial decisions carefully without rushing or pressure.
- Building a relationship with their financial institution and knowing the staff managing their accounts.
- Using debit or credit cards instead of cash to maintain clear transaction records.
- Trusting their instincts and reaching out for help if something doesn’t feel right.
Sharing these tips helps seniors stay confident and secure with their financial decisions.
If you believe you or someone you know may be a victim, report it right away. Contact your institution, local authorities and the FBI at IC3.gov.
What Financial Institutions Should Watch For
Financial institutions are uniquely positioned to catch signs of elder exploitation early. Frontline staff should stay alert to red flags such as:
- Large or unexplained withdrawals
- Sudden changes in banking habits
- A new individual accompanying the client to the branch
- Frequent overdrafts or bounced checks
- Wire transfers to unfamiliar recipients
- Confusion, hesitation or fear during transactions
- Suspicious signatures or changes to legal documents
What to Do If You Suspect Abuse
If you see something concerning, don’t wait:
- Gently talk to the individual to better understand the situation.
- Report the issue to Adult Protective Services in your area.
- In cases of theft or fraud, contact local law enforcement.
- File a complaint with the FBI at IC3.gov.
Early intervention can make all the difference in stopping abuse and helping victims recover.
Resources You Can Trust
Want to learn more or get involved? Explore these helpful resources:
Together, We Can Make a Difference
Elder financial abuse isn’t just a personal issue, it’s a community issue. During Elder Abuse Awareness Month and beyond, let’s work together to educate, empower and protect the older adults who depend on us. Staying vigilant, speaking up and knowing the signs can stop abuse before it starts.
Source: American Bankers Association
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Check out our Did You Know video on Elder Financial Abuse, available on YouTube and LinkedIn, and help us spread the word by sharing it with your network. To support outreach efforts, we have created an Elder Financial Abuse toolkit, which includes an article, email blast verbiage, images and much more that your organization can share forward to raise awareness. |