As your parents age, they may become more vulnerable to financial mismanagement.

They could fall victim to scams or fraud, develop cognitive difficulties or memory problems that affect their ability to handle their finances independently, or have trouble keeping up with inflation and a higher cost of living while on a fixed income.

It’s important to check in with elderly loved ones regularly to make sure they are capable of handling their finances on their own.

If you see any warning signs of financial issues, work with a specialist in elder care in Southern Arizona to develop a plan or strategy for getting them back on track.

You can also take steps to protect them from financial problems. Here are seven warning signs that your elderly parent needs help with financial management, and some tips for protecting their finances.

1: Disorganized or Unopened Mail and Bills

If you visit your loved one and see stacks of unopened mail around their home or an overflowing mail box, that could be a major warning sign of problems.

Avoiding the mail could indicate an unwillingness to confront financial issues head-on. It could also be a sign of memory problems or cognitive decline.

If you see multiple late payment notices, a suspicious number of credit card solicitations or new bills, or disconnect warnings for utility services, that could be a red flag that your mother or father is no longer able to keep up with their finances on their own.

2: Frequent Phone Calls From Financial Agencies or Bill Collectors

Another major warning sign that your mother or father is facing financial difficulties is frequent phone calls from financial agencies or bill collectors.

If the phone is ringing off the hook while you’re at their home and they seem reluctant to answer, ask them about the calls. They may not want to confide in you because they are afraid of facing judgment or losing their independence.

However, the sooner you get a realistic picture of their financial situation, the better you are positioned to help.

While you don’t want to invade their privacy by answering the phone, listening in on calls, or checking their messages without their permission, you may be able to find out the information you need by remaining patient and asking straightforward questions.

3: Strange or Inflated Purchases

If you notice that your loved one is suddenly receiving multiple deliveries per day, has stacks of unopened packages around their home, or their home is full of new purchases, they may be overspending.

Likewise, if you have legal access or authorization to their bank statements or credit card accounts and you see an increase in strange or inflated purchases, that is a bad sign.

They may be a victim of fraud or a scam, or they may be showing early warning signs of cognitive issues or dementia. Try to find out what is motivating them to make so many unusual purchases so you can determine how serious the issue is.

4: Vulnerability to Scams and Fraud

The elderly are more vulnerable to financial scams and fraud. They may be receptive to television, radio, and print ads selling products they don’t really need.

They may also fall victim to solicitations for donations or money, whether real or fraudulent, that could put their finances at risk.

They may also be more likely to participate in fraudulent surveys, sweepstakes, or contest offers that could result in the disclosure of personal identifying or financial information that could later be used to infiltrate their bank account.

If your loved one is experiencing forgetfulness, confusion, or paranoia surrounding money issues, they may be even more susceptible to scams and fraud.

5: Unexplained Withdrawals or Missing Money or Valuables

If you have access to your parent’s bank or credit card statements, look for large cash withdrawals or checks or money that is missing or unaccounted for.

If they make frequent trips to the bank, can’t properly track their spending or cash, or have unexplained account activity, they may have fallen victim to a scam or fraud.

They could also be exhibiting worrying signs of cognitive decline. If they are giving away or selling belongings or can’t account for the whereabouts of family heirlooms or valuable items, it’s possible that they sold them to make ends meet or that they were taken by someone who is manipulating, abusing, or scamming them.

6: Personality or Behavioral Changes

Changes in personality or behavior could also indicate a troubling mental health issue or be a warning sign of outside manipulation or elder abuse.

If your loved one suddenly is reticent to talk about their finances or spending habits, or discourages you from visiting, there may be a problem. Try to get to the bottom of the issue or consult with a professional if your loved one is suddenly or increasingly:

Confused or disoriented
Forgetful
Paranoid
Defensive or angry
Reluctant to discuss money issues or answer questions about delinquent bills, unexplained purchases, or missing money or belongings

7: New Friends Who Are Involved in Their Finances

Another major red flag is the sudden presence of a new friend or friends who are involved in your loved one’s finances. Whether it’s a neighbor, church member, home care aide, or even a relative, they could be manipulating your loved one or committing financial abuse.

If your mother or father mentions that there is a new person taking them to the bank or ATM, helping them with bills, soliciting money or donations, cleaning their home, or living with them, investigate the circumstances of their relationship.

How to Protect Your Loved One From Financial Problems

The best way to protect your loved one from financial scams, fraud, mismanagement, and losses is to be proactive. Recognize the warning signs of financial issues, remain a constant presence in their life, ask them key questions about their spending habits and financial health, and be aware of common scams that target the elderly and vulnerable.

Speak openly with your mother or father about the risk of financial problems, and indicate your willingness to help in whatever ways are necessary.

Work with a professional in senior care, such as an elder lawyer, social services representative, or therapist to create a plan that protects your loved one’s health and finances.

Hiring an In-Home Caregiver

An in-home caregiver can offer your loved one companionship and some protection from elder abuse or fraud. At Placita In Home Care, our staff undergoes rigorous background checks and has exceptional references proving their experience and trustworthiness.

We offer routine scheduled or respite care services, including mobility assistance, rehabilitative care, and assistance with the tasks of daily living. We can also provide companionship and conversation, meal preparation, and medication management.

Having a professional home with your loved one when you aren’t there can offer early warning of signs of financial issues or cognitive decline, and can lower the risk of falls, accidents, or other issues at home.

To schedule a consultation for in-home care in the Tucson or Phoenix metro area, call us today or fill out our contact form online.