The New York Times | How To Prevent Aging Parents and Relatives From Making Financial Mistakes

Jilenne Gunther’s uncle noticed her 91-year-old grandfather never seemed to have as much cash as he should in his wallet. A banker with access to the cash dye packs used to catch bank robbers, her uncle put one in a wallet in their home. When the money went missing, a trusted home care worker had the dye on her coat. The experience inspired Ms. Gunther to dedicate her life to protecting elders from financial fraud, and she is now the director of the BankSafe Initiative at

AARP.

Americans over 70 control $53 trillion in wealth, and they are the prime targets for scams. Their adult children are often the first people to notice when something seems amiss, but when elders are the victims of misdeeds, family dynamics can make it difficult to change their behavior. Experts say it takes empathy, due diligence and sometimes outside help.

It’s not just money that’s at stake, Ms. Gunther added: Financial exploitation can cause anxiety, depression, a higher risk of heart attacks and even suicide. Ms. Gunther said older adults might require the help of grown children and trusted friends to see their financial lives more clearly. “There’s a relationship between age and financially unsound decision-making,” Ms. Gunther said. “It follows this U-curve. Younger people and older people are more prone to making mistakes.”

A Range of Dangers

One of the most insidious situations can involve someone’s trusting a relative who doesn’t have his or her best interest at heart. Or it could be as simple as an investment that’s not appropriate for the elder’s stage of life, Ms. Gunther said. “They know this is high-risk, but might not be disclosing that,” she said. “And so it’s really important to really slow down and think about things.” Cybercrime against elders is skyrocketing.

In 2024, the Federal Bureau of Investigation’s Internet Crime Complaint Center received nearly 150,000 complaints of cyber-enabled fraud against people 60 or older, with almost $5 billion in losses, according to the agency’s annual report. The victims lost an average of $83,000. Scams can come from investment opportunities, impostors pretending to be the Internal Revenue Service or an online romance.

When you hear something that sounds off, you might react in the moment without thinking, but that would be a mistake, Ms. Gunther said. You want to lead with empathy. “Coming right out and saying something like, ‘You’ve been scammed’ or ‘This is a horrible decision’ — those are things that are not going to open up the conversation,” she said. “So before writing off their decision as risky or bad, it’s important to do your own research and also to ask questions like, ‘What interests you about this investment? What are you hoping to achieve?’

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