Elder financial exploitation (EFE) is “the illegal or improper use of an older adult’s funds, property, or assets.” Perpetrators range from family members and other people a victim knows (“known others”) to professional criminals. Through this kind of exploitation, many victims are stripped of a significant part of their retirement savings; declines in mental and physical health are also a consequence. Getting restitution is nearly impossible, and re-earning that money takes time, which many older victims do not have.

Getting at the true financial scope of this immense problem has been elusive in part because many victims never report EFE due to shame and embarrassment. In fact, the tendency to not report an incident may be greatest when the perpetrator is related to the victim.

This report, using a first-of-its-kind methodology to measure the annual financial cost of EFE in the United States, finds that victims over age 60 lose $28.3 billion each year. It concludes that the lion’s share of total losses–about 72% ($20.3 billion)—arises from fraud by people the victim knows, compared with losses from stranger-perpetrated incidents (28%, $8 billion). (From the website). Record #8868