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The bipartisan proposal to combat financial abuse among the elderly has been attracting attention in Congress.
The bill – the Financial Exploitation Act – gives the financial industry a new way to deal with alleged financial abuse of elderly people or physically or mentally disabled individuals.
According to a 2023 AARP report, older people over the age of 60 lose $28.3 billion a year from criminal theft. According to the report, most of these losses (72%) are committed by people they know, including family, friends, and caregivers.
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On Wednesday, R-Tenn. Senator Bill Hagerty of, and D-Ariz. Ruben Gallego of the Senate reintroduced the bill for the second time. The bill was introduced earlier in the Senate in 2023.
R-Mo. The House version of the bill, introduced in March, sponsored by Anne Wagner official, was unanimously approved by the House Financial Services Committee on Tuesday.
Both versions of the bill require the Securities and Exchange Commission to report to Congress on how to prevent financial exploitation of seniors and vulnerable adults through law and regulations.
The law allows certain financial institutions to delay transactions that raise suspicions of financial exploitation. Registered, open-ended investment companies or transfer agents for these companies, including mutual funds, may delay the reimbursement period for redemptive security transactions that raise allegations of financial exploitation.
The House version of the bill passed the Financial Services Committee with 50-0 votes. In a statement, Wagner said the whole house is looking forward to taking up the bill.
