How To Stop Elderly Parents From Giving Money Away

The elderly are quite often targeted by con artists and scammers seeking to make a quick buck. And if the older adult is suffering from a disease like dementia or Alzheimer's, getting them to part with their money is even easier. So, how do you stop an aging parent from giving away their money?

To stop aging parents from giving away their money, educate them about their finances. You must also look at the people they interact with, examine their transaction history, and get legal help if required.

1. Educate Them

The first step is to understand that your parents are at an age when specific mundane tasks may be challenging. And with the rapid changes in technology, they need help managing their finances properly.

You can ask them to keep their ATM card and checkbook with you and hand it over whenever they need them. Be respectful and polite when communicating this to them.

If your parents aren't comfortable with that idea, educate them on the dangers of con artists and frauds who may try to get in touch under the false pretense that they are calling from the bank.

With age, as your elderly parents start losing their autonomy, they will start behaving differently. 6 Reasons Why Parents Change as They Get Older

2. Monitor Their Interactions

It's crucial to monitor their interactions with other people regularly. The people in your aging parent's life include caregivers, new 'friends' and 'love interests,' or family members who seem to have taken a sudden interest in your parent's life.

Remember, most older people are bored and lonely. They crave companionship, constantly sometimes, and don't always receive it from their children and grandchildren.

3. Check Their Financial History

The most effective way to ensure your parents aren't unduly giving away money is to keep track of their transactions on a regular basis. Tracking their financial history is crucial in controlling their impulse to give away money.

4. Keep Technology to a Minimum

Living in a digital age can be confusing and challenging for older people. The best thing you can do for your parents is to set up an automated system of payments for basic expenses, like rent and utilities.

Unless mum or dad are tech savvy, it's best to avoid keeping a computer in their home. Scammers today are adept at remotely controlling devices and extracting information they can use to steal large sums of money.

5. Involve a Financial Advisor

Older people can be stubborn, and sometimes, sitting and telling them how to handle finances better may not work. Involving a financial advisor may be costly, but it will save you and your parents a lot more money in the long run.

6. Ask for Power of Attorney

Asking for legal control of your parent's finances may seem like an extreme step. But in some cases, it's the only way to ensure they don't throw away their money.

In some cases, like when a parent is deemed mentally incapable of handling finances, you may appeal to legal authorities and assume control. I have an article discussing ways you can cope with elderly parents guilting you. What to Do When Elderly Parents Make You Feel Guilty

Conclusion

Scammers, con artists, and salespeople aren't the only ones out to get your parents' money. In some instances, their primary caregivers, new 'friends' or 'romantic interests,' and even certain family members may be exploiting them. If someone threatens your parents or coerces them, it's easy to resolve the issue by contacting legal authorities.

About Chip Mitchell

Chip Mitchell is the founder of Growing Gray USA. With over a decade of experience owning a home care company, he has helped hundreds of families navigate the complexities of caring for aging parents.