If someone in your family is elderly, it may be important to help them manage their financial affairs. But, how do you know when to get involved? 

Financial abuse of the elderly does exist--and most commonly comes in the form of cashing an elderly person's checks without authorization, forging of a signature or deceiving an older person to sign a document. The elderly are also prone to fraudulent phone scams, especially those who live alone and are starved for conversation.

I personally had the unfortunate experience of advising on a case in which a caregiver stole thousands of dollars from an elderly man. The caregiver took my client's father to the bank weekly to withdraw funds--the elderly man had no idea why he was withdrawing the funds. The bank employees eventually contacted the elderly man's children when they suspected foul play, which is when the children contacted me. Unfortunately, because of how the elderly man's legal affairs were set up, we ended up resolving the matter through court involvement.

The National Center on Elder Abuse lists the following warning signs and symptoms of exploitation and other forms of financial abuse:

1. Sudden changes in bank account or banking practice, including an unexplained withdrawal of large sums of money by a person accompanying the elder;

2. The inclusion of additional names on an elder’s bank signature card;

3. Unauthorized withdrawal of the elder’s funds using the elder’s ATM card;

4. Abrupt changes in a will or other financial documents;

5. Unexplained disappearance of fund or valuable possessions;

6. Substandard care being provided or bills unpaid despite the availability of adequate financial resources;

7. Discovery of an elder’s signature being forged for financial transactions or for the titles of his/her possessions;

8. Sudden appearance of previously uninvolved relatives claiming their rights to an elder’s affairs and possessions;

9. The provision of services that are not necessary; and

10. An elder’s report of financial exploitation.

There are legal ways to help prevent the devastation of an elderly loved one's financial accounts. By being proactive while you are young and mentally alert, you can and should create an estate plan which will help prevent abuse as you age. Your legal plan should be reviewed at least every three years with your attorney to ensure it is up to date and in line with your current needs and desires.
If your family is in a situation where you suspect abuse, then don't wait until it becomes overwhelming---or until thousands of dollars have gone missing. Seek legal counsel to help you work through this difficult situation.