Talking about money safety with a loved one who has dementia requires patience, clarity, and sensitivity. It is important to approach the conversation calmly and use simple language, speaking slowly and clearly to help them understand. Visual cues or gestures can also support communication, as dementia can affect language skills and comprehension[2].
Start by explaining the need to protect their finances in a way that respects their dignity and independence. You might say something like, “I want to help make sure your money is safe so you can keep enjoying the things you love.” Avoid overwhelming them with too much information at once and focus on key points.
Setting up practical safeguards can help prevent financial mistakes or fraud, which people with dementia are vulnerable to. For example, some banks offer services where a trusted family member can have read-only access to the account to monitor transactions without being able to move money. This helps catch unusual spending early without taking control away completely[1]. Spending limits on debit cards and alerts for suspicious transactions can also be useful tools.
It is important to keep everyone involved in the loop, especially other family members or caregivers, so that no one is surprised by alerts or changes. This open communication helps build trust and ensures coordinated support[1].
When discussing money, be prepared for possible confusion or paranoia, such as fears that money has been stolen. Instead of arguing, validate their feelings and gently redirect the conversation to positive memories or reassuring facts[6]. For example, if they accuse someone of taking their money, you might say, “I understand why you feel that way. Let’s look together at your bank statements to see what’s happening.”
Encourage setting up legal protections early, such as power of attorney, so trusted individuals can help manage finances if needed while respecting the person’s wishes[2][5]. This planning can reduce stress later and provide clear authority to act in their best interest.
Finally, educate your loved one about common scams targeting older adults. Remind them never to share personal or financial information over the phone or email unless they initiated the contact. Reporting suspicious calls or messages promptly can prevent fraud[3].
Sources
https://thefinancialbrand.com/news/digital-banking/how-banks-can-help-block-elder-fraud-194189
https://wtop.com/news/2025/11/dementia-home-care-safety-daily-tips-caregiver-self-care/
https://www.comfortinghome.com/posts/how-to-stay-safe-from-scams-that-target-older-people
https://www.psychologytoday.com/us/blog/connection-and-coping/202511/when-a-loved-one-with-dementia-becomes-paranoid
https://www.bellagroves.com/dementia-financial-planning/
