One family got lucky. After noticing that the elderly grandfather’s wallet was often missing cash, an uncle who worked in a bank and had access to dye packs used to catch bank robbers inserted one into the gentleman’s wallet. A trusted home care worker had the dye on her coat.
Not everyone has such an uncle. However, there are steps families can take to protect older Americans, who are preyed upon by scammers and thieves. A recent article from The New York Times, “How to Prevent Aging Parents and Relatives From Making Financial Mistakes,” shares several pointers for family members.
Adult children are often the first to notice when something is wrong. Elders are victims because they are vulnerable and cash-rich targets. It’s not just strangers who prey on seniors. One of the biggest risks is a trusted relative with an ulterior motive.
Financial elder abuse is more than a fiscal issue. It can cause anxiety, depression, a higher risk of heart attacks and even suicide. Older adults may need help from their grown children and trusted professionals to protect them.
There is a known relationship between aging and financially unsound decision-making. Elders are victims because they are vulnerable and cash rich. Young and old people are more likely to make mistakes.
Protecting elders from fraud begins by getting ahead of the problem through a conversation about finances and the need to help the person understand their vulnerability. Some families are more comfortable discussing finances than others, so proceed with care and empathy.
It may be wise for parents to have a cognitive test as part of their annual wellness check. Older adults with early stages of dementia are especially vulnerable to scammers. Focus groups find that one out of five people discover dementia in their parents only when they learn their parents have lost money to scammers.
Ask about protective accounts from financial institutions. Some offer transaction alerts, daily withdrawal limits, or reviews of unusual transactions. Ask parents if they would permit their children to serve as a trusted contact on their accounts so the bank, credit union, or investment firm can contact adult children if there is suspicious activity.
Talk with an estate planning attorney about protecting yourself or your aging parents. In addition, all adults, especially seniors, should have a will, a power of attorney and a health care power of attorney, so that no one with bad intentions can act in the event of incapacity or after death. Book a call now.
Reference: The New York Times (Jan. 18, 2026) “How to Prevent Aging Parents and Relatives From Making Financial Mistakes”
