Federal Guidance and Legislation

2022 FinCEN Advisory on Elder Financial Exploitation – the advisory highlights new elder financial exploitation typologies and red flags since FinCEN issued its first advisory in 2011.
2018 Senior Safe Act – incorporated as part of the Economic Growth, Regulatory Relief, and Consumer Protection Act, the Senior Safe Act provides a safe harbor for banks that report suspected EFE to law enforcement and adult protective services, under certain conditions. Access our overview at this link.
FINRA in 2018 adopted two rules applicable to broker-dealers that are designed to protect senior investors:
1. Regulation 4512 – encourages asking senior investors for the name of a trusted contact that broker dealers can contact in the event of possible financial exploitation.
2. Regulation 2165 – authorizes broker-dealers to place a temporary hold on a disbursement of funds or securities if they believe financial exploitation may be occurring.
2016 CFPB Recommendations and Report on preventing and responding to elder financial exploitation – offers banks recommendations on how to train management and staff to prevent, detect, and respond to elder financial exploitation.
2013 Interagency Guidance on Privacy Laws and Reporting Financial Abuse of Older Adults – clarifies that reporting suspected financial abuse of older adults to appropriate authorities is permitted under the privacy provisions of the Gramm-Leach-Bliley Act.
2011 FinCEN Advisory on Filing Suspicious Activity Reports Regarding Elder Financial Exploitation – shares guidance to help banks identify and report suspected elder financial exploitation.
2010 Elder Justice Act – establishes the Elder Justice Coordinating Council under the Department of Health and Human Services (HHS) to synchronize activities related to elder abuse, neglect, and exploitation across the federal government.

Federal Guidance and Legislation

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