Elderly Suffer from "Financial Abuse"

[Jorumian]

This story makes somewhat depressing reading, Elderly people are the victims of "financial abuse" often by people in their own family, supposedly there to take care of them...

BBC NEWS | Business | Financial abuse of elderly 'huge'

Perhaps we shouldn't be surprised at this occurring. I think in many cases what is viewed as stealing here, may be viewed by the family as "well, it is going to be my money anyway..." I am not saying that is right, of course it isn't, but unless their is explicit permission from the owner of the money to have access to the cash, then it is looked upon as stealing. However, if by law, you have been appointed a guarantor on someone's account because they are ill, or mentally unable to deal with these things, surely that puts you in charge of their cash? No doubt there are laws in place to stop fraudulent activity, but is there a point at which your using this cash becomes fraudulent? I'd like to think it is when you use this money for your own needs without permission, but I fear that the law in this area may well be very muddied, which has probably exacerbated this kind of cynical exploitation.

[Matt26]

It really annoys me when people trot out the "well, it is going to be my money".... thing.

Not necessarily at all. Inheritance should be seen as a nice bonus, not factored into your financial planning.

I wist they'd tax it more to be frank.

[Jorumian]

I agree it is annoying to hear that excuse trotted out ad-infinitum, however I think it is really unfair to pay more tax on top of any inheritance tax, on an inheritance that has been built up and subject to all number of taxes over the years.

I think there becomes a point where something should be yours. If you've paid tax for 25 years on something to pass on, and you end up just being taxed more on it, where is the incentive to save for the future?

I'd prefer stricter legislation regarding the access to money for elderly or the infirm. Such as refusing to allow a single signatory on the account, and not allowing just "one" family unit "control". But isn't it a dreadful shame that at times like this, some poor people cannot even trust members their own family?

[Matt26]

Weeell, actually you havent paid any tax on it and if we're talking about children inheriting the money then neither have they had any hand in earning it.

Also, economically speaking, it's the perfect tax - it gets money into the public coffers without any impact on investment or business.

The way i view it is I'll make ny own money and if one day i get a few grand I wasnt counting on then great!