Most people are not at all aware that they, or a family member, are a victim of financial abuse. This sad betrayal can seriously affect people’s finances at an important stage of their lives. And, while the financial costs alone can be substantial, the real human cost can be even more harrowing.

So, what is financial abuse, how many people does it affect, how do you recognise it, and – most importantly – what can you do to help yourself, or somebody you know, in this situation?

What is financial abuse?

Financial abuse is where the victim is financially exploited or manipulated. It can include controlling finances, withholding money, or various forms of stealing. The perpetrator manipulates the victim’s finances for their own personal gain.

Examples include stealing money, coercing or guilting vulnerable people into signing something, restricting their ability to withdraw their own money from bank accounts, signing cheques on their behalf or stealing or misspending their pension. Sadly, these scams often do not involve strangers, but people with whom they have a close relationship. This can leave victims feeling isolated, trapped, and lacking in confidence.

Older adults

This type of abuse is often directed at an elderly person; usually a relative like a parent, someone in a nursing home, or someone who lacks the mental capacity to look after themselves due to conditions like dementia.

Scammers, who are less likely to be known to their victims, use lies, false information and manipulation designed to hoodwink older people out of their savings.

Older people can fall victim to such abuses for many reasons. They may not be financially savvy, or they may not understand the technology or new ways of moving money about.

Most never expect a loved one to take advantage of them. They might not be in a position to do anything to stop it, or they might be too confused, embarrassed or proud to report it.

Scammers, who are less likely to be known to their victims, use lies, false information and manipulation designed to hoodwink older people out of their savings.

How prevalent is elder financial abuse in Ireland?

Almost 16,000 cases of elder abuse have been reported within Health Service Executive-funded services for older people between 2018 and 2022. Of these, 19% were financial abuse. However, it is thought that the number of cases reported greatly misrepresents the actual reality, and are only the tip of the iceberg. The figures also do not cover abuse in private nursing homes, hospitals, or other services such as homeless units or addiction centres.

What are the telltale signs of domestic financial abuse?

It can be difficult to determine if someone is being financially abused, as they are usually too afraid or embarrassed to do anything about it. It can also be hard to identify signs of financial abuse against a senior, as they may not fully understand what’s happening, and the nature of the abuse may be much more hidden. However, there are still some key clues, such as the following:

A major red flag is somebody who suddenly appears unwilling to talk about their finances.

Some of their belongings start to go missing.

There are noticeable changes in their banking behaviours, like spending money on activities they wouldn’t normally do, or withdrawals from an ATM when they’re in a care home.

The person gets notices of unpaid bills, despite having the money to pay for them normally.

They’re uncomfortable around someone who manages their finances, or someone who lives in the property with them.

Almost 16,000 cases of elder abuse have been reported within Health Service Executive-funded services for older people between 2018 and 2022

What can victims of financial abuse do?

Taking the first steps must seem scary, but vulnerable people don’t have to tackle the problem alone. Help and support is available from the HSE Safeguarding Team, who work to ensure their safety, welfare and rights are upheld. They can be contacted at 1800 700 700.

If there is a more serious risk of harm, then it should be reported immediately to the Gardaí, by calling 999 or 112.

Everyone has the right to make their own independent financial decisions. If a family member, carer, adviser, or anybody else is controlling someone’s financial affairs and they are unhappy or unclear about the situation, then the HSE, the Gardaí or even a trusted friend or neighbour is worth talking to - even if just for peace of mind or reassurance.

Common forms of financial abuse of older adults

  • Forcing them to change or sign wills or deeds.
  • Forging their signature on official documents.
  • Accessing their old age pension, preventing the victim from seeing how it is being spent or what bills are being paid from it.
  • Using untruths or deception to get them to sign something that is against their interests.
  • Using their credit cards or bank cards, without their knowledge or permission.
  • Taking advantage of them financially, such as moving into their property and not paying rent.

    • About

    Carol Brick

    Carol Brick hails from a dairy farm in Kilmoyley, Co Kerry, and is managing director of CWM Wealth Management Ltd. An economics graduate and qualified financial adviser, she has a particular interest in financial planning for women in Ireland and launched HerMoney, a specialist service, in 2017 with an all-female team of advisers. Carol advocates for urgent legislative change when it comes to the qualifying criteria for a State pension. If you have a question, email advice@farmersjournal.ie