There is a not-so-familiar type of perversion: financial elder abuse. It is prevailing in many countries. However, we have minimal knowledge about this form of deception. Before we illustrate the ways to avoid it, let’s picture how the scam actually happens.

Financial abuse among senior citizens has various forms. One is donations to a sham charity and present itself as signs of financial stress in the person even if there should not be any. Another is suspect checks to people or others who would not usually receive money from that fraudster. Some even use holidays like Christmas or frantic phone call to an elder saying their grandchild is kidnapped.

One of the best ways to prevent financial elder abuse is to sit down and discuss the matter with an aging parent or relative. Make sure you and your family know the elder’s financial affairs. You may opt to find out the following details to grasp their finances.

  • Bank

  • Bills

  • Monthly obligations

  • Capability to manage their own finances

  • Accountant

  • Financial advisor

  • Pension payments (if any)

Forget not to keep an eye on people whom your parent talk to for financial matters. Who knows? They might be taking advantage of them.

If you are a senior yourself, try to make things as simple as possible especially if you are still able to manage your finances. List down all the financial accounts you own and consider consolidating some of those.

Also, keep good records and endorse this to a trusted family member or relative in the event you become incapacitated. Allianz Life Insurance Company of North America said family members are more likely to take preventive steps to avert a financial abuse when seniors talk over money matters with them.

It is essential to be extremely careful especially when it comes to finances. If you need extra help, by all means.

An Investment News story said Fidelity Clearing & Custody collaborated with EverSafe to monitor elderly people’s financial accounts and credit reports. The partnership seeks to evaluate the last 90 days of history by looking at the person’s bank account, credit account, and investment account for deceiving activity. The rates vary between $7.99 and $22.99.

What makes financial elder abuse prevailing? Technology. Family members not living close to their older relatives, Still, prevention has always been better than cure. Be alert. Be cautious. Be mindful.