As the U.S. population ages, one unfortunate trend continues to rise alongside it: elder financial abuse. According to the Federal Trade Commission, individuals aged 60 and older face higher median fraud losses than any other age group with those over 80 experiencing the most devastating financial impacts. Between 2021 and 2022 alone, the U.S. reported roughly 7.8 million elder financial abuse cases, totaling over $273 billion in losses.
With World Elder Abuse Awareness Day recognized each year on June 15, now is the time to reflect on how we can protect our aging loved ones from financial exploitation.
What Is Elder Financial Abuse?
Elder financial abuse, also referred to as elder financial exploitation, involves the unauthorized or improper use of an older person’s assets or financial resources for someone else’s benefit. This abuse can stem from a range of individuals, including caregivers, family members, neighbors, or even professionals, and can take many forms, such as:
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Direct theft of money, valuables, or documents
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Charging excessive fees for services or goods
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Failing to repay borrowed money
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Online romance and dating scams
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Deceptive practices to extract personal or financial information
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Scams involving fake sweepstakes, investment opportunities, or promises of prizes
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Manipulating wills, powers of attorney, or financial arrangements
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Caregivers misusing funds for their own benefit
Steps Seniors Can Take to Protect Themselves
Being proactive is one of the best ways to reduce vulnerability to scams. Older adults can protect themselves by following these tips:
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Be cautious of unsolicited phone calls, texts, emails, or door-to-door salespeople.
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Never share personal or financial information unless you initiated the contact and verified the individual or company.
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Discuss large financial decisions with a trusted friend, family member, or licensed financial advisor.
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Always require agreements in writing.
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Avoid paying upfront for services or using gift cards or cryptocurrency as payment methods.
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Be skeptical of sweepstakes or offers that sound too good to be true.
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Watch out for pressure to act immediately or secrecy around purchases.
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Shred financial documents regularly and monitor your credit reports for suspicious activity.
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Keep anti-virus and security software up to date on all devices.
Warning Signs of Financial Exploitation
Family members, friends, and caregivers should also stay alert for these red flags that may indicate elder financial abuse:
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Missing money or valuables
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Unexpected transfers of assets or financial control
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Someone new making financial decisions on their behalf
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Sudden, unexplained bank account withdrawals
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A new “friend” who isolates or heavily influences the elder
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Suspicious signatures on checks or legal documents
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Attempts to collect sensitive personal information
Reporting Elder Financial Abuse
If you suspect elder financial abuse, it’s critical to report it immediately to the proper authorities. You can:
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Contact your state’s Adult Protective Services agency
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Report the issue to your local District Attorney’s office
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Call the DOJ Elder Fraud Hotline at 833-FRAUD-11 (833-372-8311)
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Call 911 or your local police if someone is in immediate danger
When reporting, try to include as many details as possible—such as who was involved, when and where the incident occurred, and the elder’s condition or possible memory issues.
Stay safe, stay informed and help protect those who need it most.