A financial advisor may exploit a senior’s trust. The damage can destroy a lifetime of savings. Unsuitable products, hidden fees, and unauthorized trades often target older investors. Haselkorn & Thibaut, P.A., operating as Investment Fraud Lawyers, helps families hold advisors accountable and recover losses.
Our partners bring 95+ years of combined securities law experience to every matter. We maintain an approximately 98% success rate. We have been involved in more than $520 million of securities cases.
We are ranked in the top 2% of peer-reviewed firms. We handle most investor claims on a contingency basis — you pay no attorney’s fee unless we recover money for you.
What is elder financial abuse in investments?
Elder financial abuse is the illegal, unauthorized, or improper use of an older adult’s funds, property, or assets. It is committed by someone in a position of trust. When the abuser is a financial advisor or broker, the harm is especially severe. These professionals have direct access to accounts and the authority to make trades.
The AARP Public Policy Institute has estimated that older Americans lose $28.3 billion or more each year to financial exploitation. While family members and caregivers account for much of this abuse, financial professionals are responsible for a significant share. The median loss per victim can be substantial when a professional is involved.
Financial Industry Regulatory Authority (FINRA) has responded with specific protections for senior investors. FINRA Rule 2165 allows firms to place temporary holds on disbursements when there is a reasonable belief of financial exploitation. FINRA Rule 4512 requires firms to collect a trusted contact person for accounts held by specified adults. These rules can help stop abuse, but they do not undo losses that have already occurred.
| Rule | What it does | Who it protects |
|---|---|---|
| FINRA Rule 2165 | Allows temporary holds on disbursements suspected of exploitation | Adults age 65+ and adults 18+ with impairments |
| FINRA Rule 4512 | Requires collection of a trusted contact person | Specified adults and their families |
| FINRA Rule 2111 | Requires suitable recommendations based on the investor’s profile | All investors, especially seniors with limited time horizons |
| FINRA Rule 3110 | Requires firms to supervise brokers and detect red flags | Senior account holders whose activity changes suddenly |
Signs your loved one may be a victim
Elder financial abuse is often hidden until the damage is severe. Family members should watch for changes in accounts, behavior, and relationships that suggest exploitation.
| Sign | What to look for | Why it matters |
|---|---|---|
| Unsuitable products | High-risk or illiquid products in a senior’s account | Seniors typically need liquidity and capital preservation |
| Unauthorized trades | Trades the senior cannot explain or did not approve | May support an unauthorized-trading or fraud claim |
| Excessive trading | High turnover with falling account value | May indicate churning for commissions |
| Isolation tactic | Advisor discourages family involvement | Isolation is a common abuse tactic |
How we build your elder financial abuse case
Our approach combines account forensics, medical evidence, and regulatory rules to prove that a senior was exploited and to recover the losses.
What you can recover
Victims of elder financial abuse and their families may recover compensatory damages for investment losses, excess fees and commissions, and unauthorized withdrawals. They may also recover consequential damages such as tax penalties or lost estate value. In many cases, punitive damages may also be available when the conduct is particularly egregious.
Why choose our firm
We understand the emotional and financial stress that elder financial abuse causes families. Our firm handles these cases with sensitivity and determination. As former Wall Street defense attorneys, we know how brokerage firms try to shift blame onto the senior or the family. We are prepared to push back with evidence.
Related practice areas
See our related resources on types of misconduct, variable annuity fraud, misrepresentation and omission, and failure to supervise.
Acting before more money is lost
Elder financial abuse tends to accelerate once an advisor senses that family members are not watching closely. Accounts can be emptied through a series of small, unauthorized trades or a single unsuitable product placed in a moment of confusion. Acting quickly can stop the abuse, preserve evidence, and protect your loved one’s remaining assets. We are available for a free, confidential case review.
How families can spot abuse early
The best defense is a regular review of account statements and beneficiary designations. Look for new advisors, sudden changes in investment strategy, or trades that do not match your loved one’s goals. If something feels wrong, trust that instinct. A quick call can stop further losses and start the recovery process.
Frequently asked questions
What qualifies as “elder” for financial abuse claims?
FINRA defines a “specified adult” under Rule 2165 as anyone age 65 or older. It also includes anyone age 18 or older with a mental or physical impairment that makes them unable to protect their own interests.
Can I file a claim on behalf of my parent?
Yes. If your parent cannot manage their own affairs, you may file as a conservator, guardian, or holder of a valid power of attorney. Even without formal authority, you can contact us for guidance on how to protect your loved one.
What should I do if I suspect elder financial abuse?
Gather account statements and financial documents, then contact our firm for a free evaluation. If the abuse is ongoing, consider contacting the brokerage firm or adult protective services. Acting quickly can prevent further losses.
What is FINRA Rule 2165?
FINRA Rule 2165 allows brokerage firms to place a temporary hold on disbursements from a specified adult’s account. The hold applies when there is a reasonable belief of financial exploitation. The hold gives the firm time to investigate and notify the trusted contact person.
How long do I have to file an elder financial abuse claim?
FINRA arbitration claims generally must be filed within six years of the events giving rise to the dispute. State elder abuse statutes may have different deadlines, sometimes ranging from two to six years.
Do I have to pay upfront to hire your firm?
No. We handle most cases on a contingency basis. You pay no attorney’s fee unless we recover money for you. Call 1-888-885-7162 for a free case review.
This page is for informational purposes only and does not constitute legal advice. Past results do not guarantee future outcomes.