Elder Financial Abuse Targeted by CFPB

On June 15, coinciding with World Elder Abuse Awareness Day, the Consumer Financial Protection Bureau (CFPB) announced that it would be launching a public inquiry regarding the financial exploitation of elder Americans. The CFPB is a new agency that will be policing consumer financial products, and investment fraud lawyers applaud its choice to focus its attention on elder financial abuse.

It is clear to securities fraud attorneys, who regularly file claims on behalf of elderly individuals, that financial abuse against the elderly is a common problem. This sentiment was reflected in the June 15 announcement by the CFPB.

“Older Americans have lost billions of dollars to the silent crime of financial exploitation,” says Richard Cordray, CFPB director. “Our older adult population is growing every year, which makes it even more critical that we study this issue. Today, the Bureau will launch a public inquiry to learn more about financial fraud of older Americans and the credentials of financial advisors who counsel them.”

The CFPB’s public inquiry will investigate several issues regarding elder financial abuse. These issues include:

• Determining what effective resources exist to aid seniors in making informed decisions about their brokers or financial advisors.
• Determining what the public and individuals working with elders think about the current methods for determining authenticity and legitimacy of financial advisors’ and financial planners’ credentials.
• Determining what financial counseling, education or management programs are specifically designed for suiting the needs of older Americans, and the effectiveness of current programs.
• Determining what sources compile information on misleading or fraudulent uses of “senior certifications” that are publicly available.
• Determining the details of different forms of deceptive, unfair or abusive practices specifically targeted at Americans of at least 62 years of age. These abusive practices include affinity fraud, power of attorney abuse and other forms of exploitation.
• Determining the details of different forms of deceptive, unfair or abusive practices that target military retirees and older veterans, including military retirement and pension fund fraud.

With the high number of arbitration claims being filed on behalf of older and retired individuals, investment fraud lawyers are glad to see agencies like the CFPB focusing on this issue in an effort to reduce the instances of elder financial abuse.

If you believe you or a loved one has been the victim of any type of financial elder abuse, contact a securities fraud attorney at The Law Office of Christopher J. Gray at (866) 966-9598 for a no-cost, confidential consultation.