US agencies provide advice for combatting elder financial exploitation

Editorial

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Referencing a FinCEN financial trend analysis of Bank Secrecy Act report over a one-year period ending in June 2023, the statement revealed that about $27 billion in reported suspicious activity can be linked to elder financial exploitation. It is of paramount importance to highlight because older adults, considered a vulnerable group, are more likely to experience financial exploitation such as losing their life savings, financial security and face other harm. 

It is the responsibility of banks, credit unions, and other supervised institutions to support the eradication of elder financial exploitation and establish risk management practices to spot, prevent, and respond to elder financial exploitation. The statement highlights these practices as:

• Developing effective governance and oversight, including policies and practices to protect account holders and the institution;
• Training employees on recognising and responding to elder financial exploitation; 
• Using transaction holds and disbursement delays, as appropriate, and consistent with applicable law; 
• Establishing a trusted contact designation process for account holders;
• Filing suspicious activity reports to FinCEN in a timely manner;
• Reporting suspected elder financial exploitation to law enforcement, Adult Protective Services, and other appropriate entities;
• Providing financial records to appropriate authorities where consistent with applicable law;
• Engaging with elder fraud prevention and response networks;
• Increasing awareness through consumer outreach.