Setting up alerts for unusual spending when someone has dementia is an important step to protect their finances and detect potential problems early. The process involves working with the person’s bank or financial institutions to activate notifications that flag transactions outside normal patterns. These alerts can be sent via email, text message, or app notifications to a trusted family member or caregiver.
First, gather all relevant financial account information, including bank accounts, credit cards, and any online payment services the person uses. Contact each financial institution to ask about their alert options. Most banks offer the ability to set alerts for large transactions, unusual spending amounts, or transactions made in new locations. You can often customize thresholds so that any spending above a certain amount triggers an alert.
It is helpful to designate a trusted individual who will receive these alerts and monitor them regularly. This person should have permission to access the accounts or be added as an authorized user or joint account holder if possible. This arrangement allows for quick action if suspicious activity is detected.
In addition to transaction alerts, consider setting up alerts for low balances or missed payments, which can also indicate financial difficulties. Some banks provide alerts for unusual patterns such as multiple small withdrawals or sudden changes in spending habits, which are common red flags in dementia-related financial issues.
Using technology tools like call-blocking apps and registering for “Do Not Call” lists can reduce the risk of scams targeting the person with dementia. Simplifying finances by consolidating accounts and limiting access to large amounts of cash also helps reduce vulnerability.
Regularly reviewing bank statements together or with a trusted helper can catch any unauthorized charges early. If unusual spending is noticed, it is important to act quickly by contacting the bank to freeze accounts if necessary and consulting with an elder law attorney or financial advisor who specializes in dementia care.
Setting up these alerts not only protects the person with dementia from financial exploitation but also reduces stress for family members by providing timely information and peace of mind.
Sources
https://www.knowyourdosh.com/blog/help-aging-parents-manage-finances-avoid-scams
https://www.jameslwest.org/the-conversation-no-one-wants-to-have-legal-and-financial-planning-after-a-dementia-diagnosis/
https://www.nccdp.org/brain-health-dementia-a-practical-checklist/
https://theseniorscenter.blog/tag/fraud-alert/
https://ergsy.com/information/what-steps-can-i-take-help-elderly-loved-one-avoid-scams/orphans/38543/38544
