The 45 million baby boomers in the United States worked hard to prepare for lives beyond retirement. They saved money to ensure they would be able to support themselves and leave a legacy for their families. They worked and earned and were fastidious about investing their money and creating a secure nest egg. And unfortunately, that makes them targets.
Elder financial abuse is on the rise, and many seniors are robbed blind by the people they love and trust. Some of them are suffering from memory loss and dementia. Others don’t have family nearby to check on them. Greedy opportunists take advantage of this and wipe out their hard-earned money, preying on their need for companionship.
The players are different each time, but the storyline follows a familiar pattern. A kind stranger approaches a senior at the supermarket or in a place of worship and develops a kinship with them. The senior brings them into their safe spaces—inviting these con artists into their homes. In return, they don’t receive the companionship they seek. They receive a life of financial heartbreak.
A New York City woman is just one of those con artists. Mary Evans was indicted for swindling more than $400,000 from senior men.
She “bumped into” them in grocery stores, pretending to be a friend they had met before. She worked her way into their lives and made off with more than $130,000 in cash and other items, including a Mercedes-Benz. She even pretended to be the wife of another, wiping $225,000 from his bank account.
THE EPIDEMIC OF ELDER FINANCIAL ABUSE
Sadly, stories like these are all too common. Elder financial abuse is usually perpetrated by someone the victim knows and trusts. This person may have access to sensitive financial information and use that to his advantage. Other criminals convince the senior to sign over control of their assets, stealing the unsuspecting victim’s home and money right from under them.
Elder financial abuse statistics are inaccurate because a lot of these crimes go unreported. The seniors are often ashamed that they were taken in by the fraud. Some are embarrassed because they may have been searching for love before they ended up with the abuser. In many cases, the crime only comes to light when the person’s financial advisers review their finances.
According to Investment News (1), more than 62 percent of financial advisers have suspected that their clients have been victims of this type of elder abuse. The majority of them did not report the crime.
Adding to the problem is the fact that many Americans are living longer, which means more of them are suffering from the effects of dementia and Alzheimer’s disease. To further exacerbate the problem, many people are marrying and having children at older ages, leaving a sandwich generation of people who are too busy raising young children to care for elderly parents. The New York Cost of Exploitation Study(2) finds that victims report just 2 percent of all cases of suspected fraud.
Elder financial abuse is a serious crime. If you suspect that you or someone you love is being abused, don’t wait. Take action.
(1)”Advisers on the Front Lines Battle Against Financial Abuse of the Elderly” http://www.investmentnews.com/article/20170403/FEATURE/170339977/advisers-on-front-lines-in-battle-against-financial-abuse-of-the
(2) “The New York State Cost of Financial Exploitation Study,” https://ocfs.ny.gov/main/reports/Cost%20of%20Financial%20Exploitation%20Study%20FINAL%20May%202016.pdf