Todays Parents Now

A funny thing happens as we grow older. Our parents grow older as well. Sooner or later, you cannot help but notice they are not as sharp as before. Sooner or later, you have to start helping them out with financial decisions as well.

Financial scams focused on elders are becoming more frequent every year. Many cities now have an entire section of the police department devoted to stopping elder scams because the situation has become so bad.

When it comes to financial crimes, most criminals are not idiots. With seniors, they look for specific targets. This is usually a spouse who is not used to dealing with money, but has to because they lost their husband or wife.

Scams come and go, but all have the same desired result. To get a person to voluntarily hand over the keys to their money. As a concerned child, you have one way of always terminating such scams.

The financial power of attorney is the weapon. This is a document that your parent signs. It gives you, a sibling or whoever the power to handle the money in question. In short, you have to sign off on any money movement before it happens.

The power of attorney is used for a variety of purposes. They are most commonly known in relation to health decisions such as who has the right to determine medical care questions when the patient is unconscious.

With a financial power of attorney, you can control a wide variety of things. The most important is probably the bank account of a senior. When the bank is given proper notice, the senior essentially loses the authority to write checks, which stops scams.

Many people are surprised when they first see a power of attorney. It is a major legal agreement, but it is very short. Still, this is one agreement where every word counts. Make sure you have a lawyer draft it to avoid problems down the line.

Discussing legal issues with mom and dad is not easy. That being said, it has to be done. If you do not address the issue, you run the risk of one or both of them being scammed and having major financial problems. It is not a risk worth taking.

The view of your parents on the matter may surprise you. Some will be happy to be rid of the financial decisions. Others will not. Ultimately, you have to realize the decision is theirs and only theirs. Do what you can, but do not let it consume you.

Nobody likes to learn they are getting older. Having discussions regarding decision making with your parents is not easy. That being said, it is often important and at least discussing financial power of attorney agreements makes sense.