5 Tips To Prevent Elder Financial Fraud
By Garrett Garcia, Jersey Shore Federal Credit Union
Elder financial abuse is a growing concern with thousands of seniors falling victim to various forms of exploitation, resulting in billions of dollars lost every year. To protect the financial well-being of your older credit union members, it is crucial that you provide education and utilize strategies to prevent such abuse.
Here are five effective ways to protect you can protect your seniors:
- Educate the seniors in your community
Knowledge is power, and constantly providing up-to-date information on potential scams allows seniors to easily identify potential fraud. The more people in the community who have correct and updated knowledge makes it easier to spot and stop a potential scam before it starts to spread.
- Keep your information private
One key to preventing elder financial abuse is making sure that senior’s private information is kept private. They should always be vigilant of who they interact with, especially on matters of their finances. Documents that are difficult to understand should never be signed without proper review and information regarding their private accounts should not be shared. Credit unions can add an additional level of security to seniors’ information by designating a Trusted Contact.
- Prepare legal documents
As we age, it’s important to prepare legal documents that will protect us from those who would seek to harm us. Elderly individuals should prepare the necessary legal documents, such as a will, trust, and power of attorney to make sure that they are protected both in day-to-day life and in an emergency.
- Look for the signs of someone being scammed
When someone is being scammed, they will usually have a change in routine. The most common signs that someone is being scammed include mentioning a new best friend, isolation from family and friends, a change in spending habits, and an unusual degree of fear or stress when discussing their financial situation.
- Report it if it happens to you or someone you know!
If you or someone you know is a victim of elder abuse, the most important thing to do is to report what has happened with as much detail as possible to the FBI. Although it can be embarrassing, the best step to take after becoming a victim of abuse or a scam is to report it to the authorities as quickly as possible.
Preventing elder financial abuse requires education, secure financial practices, legal protections, and vigilant account monitoring. By taking these steps, we can help ensure that older members enjoy their retirement free from the threat of financial abuse.
Below are some national resources to get started:
- National Center on Elder Abuse
- AARP: Scam Alert
- The United States Department of Justice/ Senior Scams