How to Spot Elder Financial Abuse By Accountants
Elder financial abuse is a prevalent issue, particularly as this segment of the population continues to grow. It is a situation made even worse when the abuse occurs at the hands of a trusted financial adviser, such as an accountant. Many elderly individuals put their entire financial portfolio in the hands of an accountant, in the false thinking that this professional can be trusted completely. And while some accountants do remain honest and professional, a checks and balances system, comprised of trusted family and friends, is the only way to assure that your elder is not being taken advantage of by someone who is supposed to be a trustworthy public servant.
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Instructions
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Get educated on elder financial abuse indicators. These indicators include unpaid bills, unexplained account withdrawals or transfers, bank or investment statements that go right to the accountant, power of attorney that provides all financial control to the accountant, unusual activity in the elder's bank account, strange signatures signed to checks or financial authorizations, and lack of documentation about the elder person's financial portfolio, which a reputable accountant should always be able to provide.
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Attend meetings with the accountant. If possible, encourage your elderly family member or friend to allow you to take them to their meetings with the accountant, so you can be privy to the information being provided to your loved one. Ask questions and pay attention to the level of communication between the person and the accountant. Warning flags may be indications of the accountant making financial decisions that the elderly person doesn't understand or isn't even aware of, or the accountant trying to coax the individual into making certain financial moves or investments that seem shady. If they talk fast, provide nothing in writing and don't answer questions for the elderly person, you might consider finding a new accountant.
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Ask for everything in writing. The accountant should be able to provide a written record of every move that is made, financially speaking, for their elderly client. If your elder does not have anything in writing, or tells you their accountant won't provide them with anything, you may have a matter of elder financial abuse on your hands, and you may need to investigate the matter further.
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Comb over monthly financial statements with your elder family member or friend. This should be done without the accountant present. Look for any suspicious transactions and track all payments made to the accountant. Payments should be on a set monthly schedule, for the same contracted amount each month. If you see extra payments or ballooning payment amounts, elder abuse may be an issue.
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Take advantage of resources to educate your elder on financial abuse. The more educated your elder is on elder abuse, even by professionals, the less likely it will be that an accountant can take advantage of their old age. Senior centers and local banks are great local resources for classes and educational materials regarding elder financial abuse.
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