The financial exploitation of older adults is also known as “financial abuse.” It is a type of elder abuse. It may arise concurrently with other types of abuse, such as neglect, emotional or physical abuse.
Definition of Elder Abuse: “Elder abuse is an intentional act, or failure to act, by a caregiver or another person in a relationship involving an expectation of trust that causes or creates a risk of harm to an older adult.” (per the CDC)
Definition of Financial Abuse or Exploitation: “The illegal, unauthorized, or improper use of an older individual’s resources by a caregiver or other person in a trusting relationship, for the benefit of someone other than the older individual.” (per the CDC)
It can involve scams, fraud, identity theft, coercion, undue influence, or breach of fiduciary duty.
Financial exploitation can be avoided by educating elders and their caregivers, monitoring their financial accounts, and reporting any suspicious activity. Elders can also plan ahead, choose trusted delegates, and review their legal documents to safeguard their assets and wishes.
If you suspect elder abuse, contact Adult Protective Services for your area.