LANSING – The Michigan House today passed a plan proposed by State Representative Mark Meadows (D-East Lansing) to protect Michigan's elderly residents by cracking down on criminals who financially exploit seniors for their own gain. The plan now heads to the Senate for approval.
"Unfortunately, elder abuse is a sad reality – seniors can't always rely on family members and caregivers to do what's best for them," Meadows said. "We must take action to protect our seniors. This plan will help ensure that the elderly won't lose their life savings or fall prey to an individual whose sole intent is to acquire the senior's estate."
The plan that passed the House today would make it mandatory for financial institutions to report suspected elder abuse to the proper authorities. It's part of the Elder Financial Protection Plan, which also requires financial institutions to provide joint accountholders with a written summary of their rights, allows a third party to file a criminal complaint on behalf of a victim of elder abuse, and prohibits those convicted of elder abuse from inheriting from a victim's estate.
The abuse of seniors has become a growing problem as a larger percentage of Michigan residents become older and have to rely on their relatives or hired help to take care of their finances and day-to-day care.
Elder abuse ranges from abandonment and neglect to financial exploitation to emotional, physical or sexual abuse. Caregiver neglect comprised 20 percent of elder abuse cases, according to a report from the National Center on Elder Abuse. Financial exploitation was the culprit in 15 percent of the cases.
"Financial institutions can be an excellent line of defense for our seniors," Meadows said. "Their unique perspective gives them the chance to thwart any scheme designed to take advantage of the elderly. This plan gives us the chance to crack down on those looking to steal what our seniors have worked their whole lives for."