One Step to Prevent Elder Abuse
January 12, 2016When I was a financial advisor in private practice, my favorite clients were the elderly. They are so much fun to talk to and I learn so much from their life experience. My favorite group is the “World War II” generation. There is something special about the “generation that saved” the world. However, as they grow older, I realize that it is our turn to save them.
When I first became an advisor, I was assigned to a town with a large elderly population, so most of my clients were over the age of 65. I loved it. They shared stories of growing up during the Great Depression and experiencing World War II. In fact, one of my clients worked with General Eisenhower on D-Day.
Ms. Jones was one of my favorites. She always came in with yummy baked goods and stories of working for the USO during World War II. I encouraged her to get her estate documents in order so her wishes would be known in the event that something were to happen to her but she did not feel that she needed to get any documents done since she did not have a large estate, had no children and was in good health.
Over time, I noticed that her speech became slurred and she had trouble remembering things. A few weeks later, she came in with her niece. Her niece told me that Ms. Jones was diagnosed with advanced dementia.
One day, a relative of Ms. Jones came into my office demanding to see my client’s assets. I refused, saying that I would need permission from Ms. Jones or the legal documents of the person appointed to handle her financial affairs. A few days later, the relative brought in a very frail and frightened Ms. Jones, who gave me permission to share her financial information with her relative. Concerned, I contacted our legal office to see if I could do anything. I was told that without legal documents, my hands were tied.
I later received legal documents appointing her relative as her guardian. I sent them to my firm’s legal office, hoping that there was something they could do to stop her relative from taking over her assets. Since the documents were legal, we could do nothing.
Over the next 6 months, I watched in horror as this person liquidated all of my client’s assets, including her home. Her niece came to me in tears over how badly she thought Ms. Jones was treated by her relative. My client, who spent her life saving her money and served her country, died broke in a substandard nursing home. This all could had been prevented if she had a durable power of attorney.
A durable power of attorney allows you to appoint a trusted person to manage your financial, legal and business activities on your behalf if you are unable to make a decision on your own. If you have a pre-paid legal plan or an EAP at work, you may be able to get the document for free. You can also download the forms for free by state on websites like PowerofAttorney.com
A healthcare directive or a living will states your medical wishes if you cannot make a decision. Ms. Jones was on life support prior to her death, which is something I remember her telling me that she did not want. A healthcare directive would have stated her wishes. My Directives is a website that can help you create your healthcare directive for free.
One of the best ways to protect yourself or your loved ones from being victims of elder abuse is to create the legal documents to make your wished known in writing. Doing these documents can be the best gift you can give yourself. Don’t procrastinate though. By the time you need it, it will be too late.