Advisory for financial institutions on preventing and responding to elder financial exploitation
Source: Consumer Financial Protection Bureau
The Consumer Financial Protection Bureau (CFPB or the Bureau) provides broad recommendations in this advisory for banks and credit unions to help them prevent and respond quickly to elder financial exploitation. The CFPB has identified the benchmarks provided in this advisory to help financial institutions assess and strengthen their current practices for preventing, detecting, and responding to the financial exploitation of older people.
Elder financial exploitation has been called the crime of the 21st century. Deploying effective interventions has never been more important. Recent studies suggest that financial exploitation—the illegal or improper use of an older person’s funds, property or assets— is the most common form of elder abuse and yet only a small fraction of incidents are reported. Older people are attractive targets because they often have assets and a regular source of income. These consumers may be especially vulnerable due to isolation, cognitive decline, physical disability, health problems, and/or bereavement. Elder financial exploitation robs victims of their resources, dignity and quality of life—and they may never recover from it.
Financial institutions play a vital role in preventing and responding to this type of elder abuse. Banks and credit unions are uniquely positioned to detect that an elder account holder has been targeted or victimized, and to take action.
Topics: Financial Abuse, Prevention, Reporting
Access: Download, Web-based
Intended Use: Self-directed Learning, Teaching Others
Level: Advanced, Intermediate