Elder financial abuse has a particular set of red flags, like unusual wire transfers, a new “best friend” who opens a joint account with the elderly person, and forged signatures. If you are close to an elderly person, either through a personal or professional relationship, you may be the only person who can identify the signs of elder financial abuse.
With more money in the bank than younger people, the elderly make more lucrative targets for scammers and thieves. Family members, financial professionals, caregivers, and nursing home staff are all frequently mentioned in cases of elder financial exploitation.
Elder financial abuse is a serious problem in the securities industry. While family members are the most likely to perpetrate elder financial abuse, financial professionals are also frequent perpetrators. Financial professionals may even take advantage of their own relatives, using the pretext of their professional duties to take advantage of their elderly relations.