FDIC, CFPB enhance program to help seniors combat financial exploitation

The Federal Deposit Insurance Corporation (FDIC) enhanced its Money Smart for Older Adults curriculum to help seniors and their caregivers avoid financial exploitation through fraud and scams.

Money Smart for Older Adults is a resource created by the FDIC and the Consumer Financial Protection Bureau (CFPB) to educate and inform seniors about financial exploitation, such as imposter scams and identity theft. The instructor-led training modules show them how to prevent, identify, and respond to potential financial exploits. It also includes information on how seniors can make informed financial decisions.

Financial scams of seniors are a widespread problem that is widely underreported. According to the National Adult Protective Services Association, only one in 44 cases of financial abuse comes to the attention of authorities. The review also said that 90 percent of victims are exploited by a relative, friend, or trusted acquaintance.

“Building on the success of the FDIC’s Money Smart curriculum, this program provides a valuable resource to help older adults avoid being victims of this type of abuse, as well as manage their money effectively,” FDIC Chairman Martin Gruenberg said.

The Money Smart for Older Adults instructors often include representatives of social service agencies, law enforcement, and financial institutions, as well as legal professionals and other volunteers.

The three-part module consists of an instructor guide, a resource guide, and a PowerPoint presentation that supplements classroom instruction. Materials are available in English and Spanish. CFPB’s curriculum resource guide, as well as Money Smart success stories, can be found on the FDIC website.

“We must do all we can to prevent financial exploitation of older Americans,” CFPB Director Richard Cordray said. “By providing these resources, we will be better able to educate and empower seniors and those who care about them so they can avoid becoming victims of financial abuse.”