Willow Glen Resident

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Financial elder abuse law finally implemented after two years

By Lydia Sarraille

A new law went into effect this month that will help protect seniors in one area where they are vulnerable--their bank accounts.

California's bank, credit union and savings and loan employees are now required to report suspected elder financial abuse under SB1018.

In Santa Clara County, officials from adult protective services expect the new law to help the county's financial abuse specialist team (FAST) better combat the 25,000-plus cases of financial abuse handled each year. FAST includes the public guardian's office, adult protective services, district attorney's office, county counsel's office and law enforcement,

Jamie Buckmaster, manager of adult protective services and a member of FAST, says her agency has received numerous reports of suspected financial abuse for years. The new law makes it easier for employees to report abuse, she said.

"SB1018 ensures that bank and credit union employees are not held liable for any report they make," she said. "If you suspect that someone is being taken advantage of, you can report it. You don't need proof--that's our job."

Deputy district attorney Tiyen Lin said the combination of forces makes them more effective.

"The problem of elder financial abuse is multifaceted," Lin said. "The best approach to tackling it is to make use of as many resources as we can. SB1018 helps in this regard in that the bank personnel are often in a position to see things that others might not see."

The law, written by state Sen. Joe Simitian (D-Palo Alto) and Assemblywoman Lois Wolk (D-Davis), was signed in 2005, two years before it took effect this month. The delay, according to a press release issued by Simitian, was to allow time for banks to train their employees and develop new policies and procedures to comply with the law.

Shawna Reeves Nourzaie, a social worker with the Fair Lending Project for Seniors under the Santa Clara County Council on Aging, said the new law will ensure that bank employees act on their suspicions, which may prevent many seniors from being victimized.

"Most seniors don't have social workers to look out for them," Nourzaie said, "but they all go to banks, and that's our first line of defense in preventing financial abuse."

Nourzaie has conducted seminars explaining financial abuse and how to avoid being victimized at senior centers throughout Silicon Valley.

Ronald Schwartz, a resident of San Jose for 43 years and a retired accountant who has assisted seniors with their taxes at the Cypress Senior Center, has seen firsthand the destructive force of financial abuse.

"I had a client a few years back who was scammed by a stockbroker," Schwartz said. "I knew he was supposed to have stocks, but the broker had taken his money and all the profits."

Schwartz said he believes his generation is especially susceptible to financial abuse because of the era in which they were raised.

"For the people who grew up in the '30s and '40s, giving your word meant something," Schwartz said. "These people are sometimes a bit too trusting, because they take people at face value. Too often today, there are other people who use that to take advantage."

He said the best way to combat the problem is continuing education about finances and watching for signs of being taken advantage of. "We have to keep reminding seniors that there are people out there whose living depends on taking your money."

To report suspected elder and dependent adult abuse, contact Adult Protective Services at 800.414.2002.