Financial Exploitation and Client Capacity: Resources for APS
 

By Kendra Kuehn, NAPSA

November 2025

Financial exploitation, particularly scams and frauds, is receiving increasing national attention through financial institution alerts made to clients regarding suspicious activity on their accounts and congressional hearings. AARP research shows that the majority of financial exploitation and largest losses are perpetrated by people the victims know and most of such cases are eligible to be investigated by adult protective services (APS). According to the National Adult Maltreatment Reporting System (NAMRS), financial exploitation is one of the most frequent allegations reported to APS, second only to self-neglect. Despite the prevalence, the U.S. Department of Justice’s National Elder Abuse Victim Services Needs Assessment found major gaps in addressing financial exploitation — particularly lack of resources, coordination, and compensation for victims — compounding the psychological and physical impacts of financial exploitation. 

Cognitive impairment is also highly associated with financial decision-making difficulties, potentially increasing the likelihood of financial exploitation. In their discussion of financial decision-making scales, Lichtenberg et al., notes “the majority of older adults, even those with mild dementia, are able to state what they want to do and why they want to do it. The challenge for APS is to determine whether the older adult was able to make an informed financial decision.” In cases of confirmed cognitive incapacity, APS may be able to pursue legal supports, ranging from representative payees to, in extreme cases,  guardianship to assist older adults and/or adults with disabilities to safeguard their financial resources.   Victims of financial exploitation may or may not have capacity issues but may still be victims of financial exploitation. Additionally, cognitive capacity is a complex spectrum of abilities and types of deficits. In these types of cases, APS investigators may benefit from using an assessment tool to evaluate their decision-making abilities. With a person-centered approach and observational skills, available tools help inform the client’s financial awareness and abilities.      
 

If it is shown that the APS client was financially exploited, but they do have financial decision-making capacity, resources and services can address the impact and support future decisions. This is especially important as those adults who have been exploited are more likely to be revictimized. 

Helplines can be an immediate source of support and information for financial decision-making, particularly for victims experiencing psychological problems such as depression, anxiety, or suicidal ideation. They can also help combat social isolation and loneliness. The Veterans Crisis Line provides resources that are specifically available to veterans and is available by phone (988 press 1), text (838255), online, and TTY (711 then 988). The multilingual Friendship Line (888-670-1360) is the only support line for older adults, caregivers, and people with disabilities. The Friendship Line was created to challenge isolation in aging. The FINRA Securities Helpline for Seniors (844-574-3577) is available for older adults, adults with disabilities, and professionals like APS. This helpline can assist with investment-related questions, concerns of account handling, and answer other questions. Since its launch in 2015, the FINRA Securities Helpline has recovered over $9.3 million for investors.

APS professionals and their clients can learn from and use various types of educational resources. The U.S. Securities and Exchange Commission’s Investor.gov has an older investors page with short explanations on topics and sources to go deeper. For example, the section “Add a trusted contact” discusses what the trusted contact role can and cannot do. Trusted contacts are increasingly becoming an option at financial institutions but may be something the APS client is not familiar with. Learning about types of accounts may also prevent the client from exploitation, particularly if their current accounts allow access by the perpetrator. Maryland’s Project SAFE (Stop Adult Financial Exploitation) coalition developed resources for communities to combat financial exploitation, including What Account is Right For You? The publication addresses types of joint accounts, who has access, and what happens after the holder is deceased. APS professionals can look for their own publications; the state's financial regulation office is a good place to start.
 

Resources for future planning can help clients implement their wishes to prevent future financial exploitation. The report to APS of financial exploitation may be the client’s first interaction with APS and available resources to prevent financial exploitation, but there is a strong chance the client has been victimized before. The University of Minnesota and AARP’s Thinking Ahead Roadmap is an easy, interactive guide to making plans with explanations of roles such as a financial power of attorney. It includes space to identify emergency signals where a trusted advocate should step in, such as signs of self-neglect or exploitation. The American Bar Association Foundation’s Financial Caregiving and You focuses on identifying a financial caregiver for when assistance is needed. The guide includes a list of different types of financial caregivers from conversation partners to durable power of attorney. Resources like these can help APS clients extend their autonomy and decisions in the future. When APS is working with a client who has financial capacity, providing resources to build plans and protections for the future may help address some of the psychological impact. 

Lichtenberg (2016) notes that, “Many older adults strongly desire autonomy and control, such that unnecessarily limiting autonomy can lead to increased health problems and shortened longevity.” Addressing and preventing financial exploitation, while maintaining autonomy and control, can be daunting to both the APS worker and client. But resources are available to address the immediate emotional support needs through helplines, build education, and plan for the future. The resources shared here are only a snapshot. APS workers and supervisors can also reach out to their own state financial regulation office, multidisciplinary teams, and state financial associations for new ideas and opportunities for further collaboration. 

 

The APS Blog is updated regularly with posts from contributing authors and new publications from the APS TARC.

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