While many people look forward to the freedom that retirement can bring, aging can also bring its challenges. A key concern is protecting your finances as you get older. With financial abuse being a serious issue (it’s the most prevalent type of elder abuse in Canada), it’s important to understand how your finances could be in danger and ways to protect them.

Let’s take a look at the various dangers that could hurt your finances and ways to help you avoid them. 

Financial abuse: understanding the risks

Financial abuse occurs when someone uses manipulation, coercion or deception to take advantage of another person's financial resources. This can happen in various forms:

• People (often family members) trying to take your money or valuables.
• Pressure being applied to make you sign legal or financial documents that you don't fully understand, often for services you don’t need.
• Care providers or other service providers overcharging you.

Such abuse can be especially harmful because it can often go undetected for a long time, gradually undermining your financial security and independence. As you age, cognitive decline or physical frailty can make you more vulnerable to such abuse. For instance, if you have trouble managing your finances due to memory loss or physical limitations, you might have to rely more heavily on others, increasing the risk of exploitation.


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