We all want to protect vulnerable people from harm. However, taking away all their rights usually isn’t the place to start. Instead, there are several less severe options that could be the right way to go.
Some people draft wills or trusts to ensure that the loved ones they will eventually leave behind own a piece of the properties the former will be leaving behind in case of their death.
Take, for example, the sad and sordid tax case of Mary Ellen Cranmer Nice vs. United States of America, which would not have existed if an attentive financial advisor hadn't noticed the large IRA distributions that were allegedly stolen right from under a matriarch’s nose.
Under Illinois law, an individual holding a power of attorney is a fiduciary as a matter of law. The person designated as a power of attorney agent owes a fiduciary duty to the principal—the person making the designation.
Billions of dollars are lost to financial scams every year, and seniors are particularly at risk. One widely cited study found that older Americans lose $36 billion a year to elder financial abuse. This includes exploitation, fraud and trust abuse.
One in five older Americans falls prey to financial exploitation each year. Banks and financial advisers are now stepping up front-line defenses.
