Opinion: New state law protects seniors from financial predators

by Jorge Perez, Bruce Adams, Tom Mongellow and Kelly Papa

Connecticut’s elder population has collectively lived lives that have impressed and awed so many of us. Imagine one person over the age of 80 and what that person has witnessed during a lifetime. Numerous wars, a Great Recession, so much political turmoil and upheaval. This person has witnessed and participated in dramatic social change and perhaps played an active role as technology and innovation have taken us in amazing new directions, in addition to building a family, a career and a legacy. This is a person to be honored and revered.

Now consider the fact that there are more than 800,000 of these kinds of stories in Connecticut.  Census numbers show seniors over the age 60 account for nearly a quarter of our state’s population. They are our loved ones, neighbors, friends, role models and mentors.

This is why it is particularly disturbing that cases of financial fraud, scams and exploitation against this treasured population have been on the rise lately. It is unconscionable to most of us, but there are those out there who prey on this population and seek to steal their hard-earned investments and savings. And it needs to stop.

Now consider the fact that there are more than 800,000 of these kinds of stories in Connecticut.  Census numbers show seniors over the age 60 account for nearly a quarter of our state’s population. They are our loved ones, neighbors, friends, role models and mentors.

This is why it is particularly disturbing that cases of financial fraud, scams and exploitation against this treasured population have been on the rise lately. It is unconscionable to most of us, but there are those out there who prey on this population and seek to steal their hard-earned investments and savings. And it needs to stop.

It should be unfathomable to think of this happening, but sadly, financial exploitation of the elderly has become common. Those who work with seniors on a daily basis know of many tragic instances where many seniors have seen their savings depleted and, in some cases, wiped out entirely simply by placing their trust in the wrong people — a more common mistake than most think. To sit with someone after this has happened — someone who has spent a lifetime working, saving and sacrificing — is as infuriating as it is heartbreaking.

Will this new law stop all instances of financial exploitation of the elderly? Unlikely. But will it make it much harder by adding a strong layer of protection and training? It will indeed.

So going forward, for example, when someone walks into their bank or credit union and makes a request for money from a senior citizen that doesn’t seem quite right, that person will be prepared to put the brakes on and halt the transaction until it can be verified. This will give seniors and their families the peace of mind of knowing the right people are looking out for their welfare.

These strong new actions were a priority of the Department of Banking this year because similar legislation had stalled in previous years. We cannot wait any longer while these stories of exploitation and targeting of older residents pile up. The stories hit harder every time we hear them. It is time to do whatever we can to stop these scams and schemes preying on this vulnerable population. By empowering both our financial institutions and our seniors with more avenues to recourse than ever, this is major progress that could set a national standard.

We need to continue to honor our senior population on a daily basis for all they have seen, endured and contributed, and all the good they continue to do in their later years. With this new law coming on the books, we are doing just that.

Jorge Perez is the commissioner of the State of Connecticut Department of Banking. Bruce Adams is president and CEO of the Credit Union League of Connecticut, which represents Connecticut’s credit unions. Tom Mongellow is president and CEO of the Connecticut Bankers Association, which represents the Connecticut banking industry. Kelly Papa is president and CEO of Duncaster, a nonprofit continuing care retirement community in Bloomfield.

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Opinion: New state law protects seniors from financial predators