Let’s start with a definition. Financial elder abuse, also known as material exploitation, is the illegal or improper use of an elderly person’s funds, property, or assets. Examples
of this type of abuse include, but are not limited to:

• Cashing an elderly person’s checks without authorization or permission
• Forging an older person’s signature
• Misuse or theft of an older person’s money or possessions
• Deceiving or coercing an older person into signing any document,
  such as a contract, will, title, etc.
• Telemarketing scams. This can involve making exaggerated claims
  about investment returns, scare tactics and other fraudulent acts to get seniors to send the perpetrator money or credit card information
• The improper use of conservatorship or power of attorney

It is estimated that every year some five million seniors fall victim to financial elder abuse. The number of victims may well be considerably higher. Many seniors are unaware that
the financial abuse is taking place, while others are unwilling to report it out of embarrassment or fear for their safety.

Maybe you suspect that an elderly family member or loved one is being subjected to some form of financial abuse but are not sure. Here are a few signs to look for:

• Sudden changes in bank account balances or banking practices, particularly
  unexplained withdrawal of large sums of money when the older person is accompanied by another individual
• Additional names being included on bank signature cards
• Unauthorized withdrawal of the elder’s funds using his or her ATM card
• Sudden changes to a will, trust, power of attorney, or other financial
  document
• Disappearance of funds or valuable possessions that the elder
  person can’t explain or refuses to discuss (perhaps out of fear)
• The elder person receives substandard care or accumulates unpaid bills
  even though adequate financial resources are available
• Discovery of a forged signature for financial transactions or the titles
  of the elder person’s possessions
• Sudden appearance of previously uninvolved relatives who claim to have
  rights to the elder person’s affairs and possessions
• Sudden transfer of assets to a family member or someone outside the family
  that the elder person can’t or won’t explain
• Provision of services to an elder person that do not seem to be necessary

Sadly, financial elder abuse is often perpetrated by the senior’s own family, including sons, daughters, grandchildren and spouses. Abusers also include predators, such as people
professing to have fallen in love with the elderly person or marketing themselves as personal caretakers. Unscrupulous professionals and business owners often take advantage of
the elderly by charging more for services, recommending unnecessary services or taking money up front for services that are never provided.

To learn more about financial and other forms of elder abuse, visit http://www.preventelderabuse.org/elderabuse/fin_abuse.html.

As an estate planning and elder law firm, we strive to provide all of our clients with the tools and strategies they need to prepare for whatever comes along, including wills, trusts, advanced directives, and more. While it is vitally important for you to have these documents, it is equally important to talk to your family about them.

It is entirely possible that your children and other loved ones would like to know, for example, how you want to be cared for in the event of incapacity or an end of life situation.
But do your loved ones know that you have made your wishes clear through advanced directives and the thinking behind the choices you made? Do they know that you have created a power of attorney that allows a person of your choosing to make medical and/or financial decisions on your behalf? Even if they understand that you have done so, do they know where the
documents can be found? If the documents are on your computer, do your loved ones know what file name or password must be used to access them?

Similarly, your children may wonder about your financial situation. Is your house paid for, or are you carrying a mortgage that will need to be covered if you pass away suddenly?
What about your automobile? Have you created a will or trust, and if so, do your children stand to inherent any assets? Your children may be hesitant to ask questions such as these for fear of appearing greedy or insensitive. Yet they may also need this information to do proper estate planning of their own.

We understand how difficult it is to begin a conversation of this nature, and can help you find the best ways to begin one with your loved ones. Experience tells us that families who are able to open up in this manner draw closer together and feel a sense of relief afterwards.