As our parents, grandparents, and loved ones age, they can become more vulnerable to different forms of abuse, especially financial abuse. Elder financial abuse occurs when someone improperly uses an older adult’s money, property, or personal information for their own benefit. Unfortunately, it is one of the most underreported forms of abuse, often because victims feel embarrassed, confused, or afraid to speak up.
June is National Elder Abuse Awareness Month. By learning about the warning signs and talking openly with older relatives about financial safety, you can play an important role in prevention.
How Financial Abuse Can Happen
Elder financial abuse can be committed by scammers, strangers, or even someone the older adult knows and trusts. It can include:
- Scams or fraud targeting seniors through phone calls, emails, texts, or social media
- Pressure to sign documents, change beneficiaries, or update wills unexpectedly
- Unauthorized use of debit cards, checks, or online banking
- A caregiver or family member controlling finances or isolating the individual
When financial abuse occurs, it can lead to serious consequences such as lost savings, unpaid bills, damaged credit, loss of independence, and emotional distress.
Common Scams Targeting Older Adults
Some of the most common scams include:
- Imposter Scams – Posing as a grandchild, government agency, utility company, or financial institution
- Romance Scams – Gaining trust through online relationships and then asking for money
- Tech Support Scams – Claiming a computer or cell phone is compromised, then requesting payment or access to the device
- Prize or Lottery Scams – Asking for fees or personal information to release “winnings”
- Urgent Payment Requests – Demanding immediate payment in the form of gift cards, wire transfers, or cryptocurrency
A key red flag: pressure to act quickly or keep a request secret.
Common Warning Signs of Elder Financial Abuse
Financial abuse is not always obvious. These are some warning signs that may indicate something isn’t right:
Emotional or Behavioral Changes
- Sudden withdrawal from normal activities
- Unusual depression, fearfulness, or anxiety
Financial Clues
- Large or frequent unexplained withdrawals
- Sudden changes to wills, powers of attorney, or beneficiaries
- Unpaid bills despite having adequate funds
Caregiver Behavior
- A caregiver who appears overly aggressive, controlling, or indifferent
- Refusing to let you speak to the older adult alone
How Families Can Help Protect Older Loved Ones
Having proactive conversations with your loved ones can make a big difference. Consider encouraging older family members to:
- Never share personal or financial information (PINs, passwords, account numbers)
- Pause before sending money or signing documents, especially under pressure
- Verify unexpected calls or messages by contacting organizations directly
- Keep trusted family members involved in major financial decisions
- Ask questions if something feels confusing or rushed
Trusted Contacts: An Extra Layer of Protection
At Wayne Westland Federal Credit Union, we offer the option to appoint a trusted contact. A trusted contact is someone we can reach out to if we notice suspicious activity or have concerns about a member’s well-being.
- Trusted contacts do not have any access to account funds
- They provide peace of mind and an extra layer of protection
- They can help prevent financial exploitation before serious harm occurs
It’s a simple step that can make a powerful difference!
Speak Up and Protect
If you suspect someone you know may be the victim of elder abuse, financial or otherwise, it’s important to speak up. You can report concerns to Adult Protective Services at 855-444-3911. Reporting can help protect vulnerable adults and connect them with the support they need.
Together, by staying alert, informed, and proactive, we can help protect the dignity, independence, and financial security of the people we care about most.
We are here for you every step of the way,
Your Financial Gurus
