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Fast Facts: FINANCIAL ELDER ABUSE A GROWING PROBLEM

FACT: By 2013, the number of Americans aged 65 and older is projected to double to 71 million, roughly 20% of the U.S. population. As the U.S. population ages, the pool of potential victims for financial exploitation increases. FACT: The annual financial loss for victims of elder abuse is $2.9 billion, which is a 12% increase from 2008. FACT: The typical victim of elder abuse is a woman over 75 living alone. However, men and women of any race, economic level, or health status can become victims of elder financial abuse. FACT: The most common perpetrators of financial abuse are family members, who commit nearly 75% of crimes. FACT: Signs of exploitation of the elderly include but are not limited to: unusual transactions or changes to accounts, unpaid bills, changes in spending patterns, new individuals accompanying the customer to a bank facility, and/or missing property. FACT: Financial institutions are often the first line of defense against financial elder abuse. Financial institutions use sophisticated technology, modeling, and training to be on the forefront of fraud detection. Many financial institutions have extensive programs to educate employees and customers on detecting abuse and steps to secure accounts from the lure of fraudsters. Financial institutions work with agencies such as Adult Protective Services (APS), local law enforcement and prosecutors, and many times as part of local or regional task forces focused on elder abuse prevention and prosecution. Institutions report suspected abuse via the Suspicious Activity Reports (SARs) filed with the Financial Crimes Enforcement Network (FinCEN), an agency of the United States Department of the Treasury. Financial institutions work closely with community organizations to host panel discussions and community events to educate seniors and their caregivers about the risk of elder financial abuse. When signs of exploitation are detected, financial institutions help customers protect their assets. On November 15, 2012, BITS President Paul Smocer testified on behalf of the Financial Services Roundtable before the Senate Special Committee on Aging on Americas Invisible Epidemic: Preventing Financial Elder Abuse. View his testimony here.

November 2012

The Roundtable delivers Fast Facts to select opinion leaders in the financial services industry, Congress, and media. View all previous Fast Facts at www.RoundtableResearch.org Financial Services HOTLINE: If you have questions, call Abby McCloskey, Director of Research, at 202589-2531 or Scott Talbott, Senior Vice President of Public Policy, at 202-289-4322. Learn more about the financial services industry at www.OurFinancialFuture.com.

November 2012