How to Protect Against Financial Exploitation
One of the worst scenarios when someone is managing you or your loved one’s finances is the potential for exploitation. As you plan for long-term care, there are measures you can take to protect against financial exploitation so your assets aren’t frivolously wasted due to the actions of another.
We help families or those with loved ones in Maryland plan for their long-term care and well-being. Follow these tips to ensure that you are protected against financial exploitation.
1. Assign Power of Attorney to Someone You Trust
A power of attorney enables one person to make financial decisions on your behalf when you no longer can. This person has control over your finances, and choosing the wrong person may be disastrous for your assets.
When you decide who to assign powers of attorney to, make sure it’s somebody you fully trust. Also, be sure to include powers of attorney in your estate plan. Otherwise, the court may assign you a guardian — and it may be somebody you don’t trust completely.
2. Keep Your Assets Protected
Powers of attorney are just one component of a proper estate plan. By building a more comprehensive plan and protecting your most valuable assets, you can help mitigate the negative effects of financial exploitation. That way, even if somebody simply mismanages your finances, many of your assets will still be protected and passed onto your family.
3. When Things Go Wrong, Petition the Court for Guardianship
Just because someone assigns powers of attorney or already has a guardian does not mean it’s permanent. If somebody is exploiting your loved one’s finances, you can petition the court to appoint guardianship to someone else. Be sure to act quickly, so you can prevent any further damage to your family’s assets.
4. Consult with an Elder Law Attorney
Whether or not any of these issues arise, it is best to consult with an experienced lawyer for all of your elder law needs. Our firm takes a proactive approach to help ensure that nothing goes wrong, but we are also committed to helping you through any of the current challenges you are facing.