Elder Financial Exploitation is defined as: the improper use of an adult’s funds, property, or resources by another individual including, but not limited to fraud, false pretenses, embezzlement, conspiracy, forgery, falsifying records, coercion, property transfers, or denying them access to their wealth by the U.S. Department of Justice. Under this definition, the exploitation can be broken down into two types.

Elder Financial Fraud:

Occurs when an older adult is deceived and exploited for money by strangers. Common schemes targeting seniors include impersonation scams, where fraudsters pretend to be romantic partners, tech support, government officials, or even bank employees. These scammers aim to trick victims into sharing personal information or sending payments through gift cards, wire transfers, or cash.

Elder Financial Abuse:

Occurs when an older adult is exploited for money or assets by someone they know. Seniors are particularly vulnerable to being taken advantage of by caregivers, healthcare workers, or even family members. These individuals may steal personal or banking information, gain control of accounts, or influence financial decisions for their own benefit.

Warning Signs of Elder Financial Abuse and Fraud

• Unusual bank account activity or large withdrawals

• Sudden changes to wills or power of attorney

• Unpaid bills or lack of basic necessities

• Isolation from friends or family

• New “friends” or caregivers with access to finances

• Increased fear or anxiety

• Withdrawal from normal everyday activities

• New online “friends” or significant others that has never been met in person

• Unusual or sudden changes in spending patterns

Tips for Avoiding Elder Financial Fraud or Abuse

• Regularly review bank statements and financial documents

• Set up account alerts and monitoring

• Stay in frequent contact and check in with elderly loved ones

• Watch for changes in behavior or mood

• Be cautious of new acquaintances or caregivers

• Secure important documents in your home

How to Protect Elders from Financial Abuse

• Establish trusted power of attorney and review documents regularly

• Use joint bank accounts or require dual signatures for large transactions

• Educate family members and elders about common scams targeting seniors

• Encourage open communication about finances

• Work with your bank—they can help prevent fraud, provide valuable guidance, and assist with reporting.

What to Do If You Suspect Financial Abuse

• Step 1: Report elder financial abuse to Adult Protective Services (APS) office in your area.

• Step 2: Contact your local law enforcement and remember to call the local office number over 911 if there is no immediate threat of harm.

• Step 3: Work with your loved ones bank to help secure their accounts and minimize any further losses.

• Step 4: If you have further questions or concerns visit consumerfinance.gov for more information and resource on reporting and recovering from Elder Financial Abuse.

What to Do If You Suspect Financial Fraud

• Step 1: Stop contacting or communicating with the scammer

• Step 2: Notify your bank so they can help secure your accounts and minimize losses.

• Step 3: Place a fraud alert on your credit report credit report with one of the three major credit bureaus (Experian®, TransUnion®, Equifax®).

• Step 4: Report the scam to the Federal Trade Commission (FTC) at reportfraud.ftc.gov.

• Step 5: Remember, you’re not alone—fraud can happen to anyone. Acting quickly increases your chances of minimizing damage and stopping further fraud.

Protecting older adults from financial exploitation is a shared responsibility that begins with awareness and education. By staying informed about the warning signs and taking proactive steps, we can help safeguard our loved ones and community members from scams and abuse.

If you ever suspect elder financial abuse or fraud, don’t hesitate to take action and seek help from trusted resources. Together, we can make a difference and help ensure the financial well-being of seniors in our community.