5 tips for protecting your finances as you grow older
In today’s world, elder’s finance exploitation is a growing problem in mostly every part of the world. In America above 6.6% people older than 65 have lost their money to exploitation, fraud, and theft. Elder financial exploitation is emerging as the most prevalent form of abuse in many parts of the world. So to keep you money safe from these thefts, here are 5 tips to protect your finances as you grow older. In addition, get 2020 Medicare advantage plans comparison to protect yourself with good coverage.
- Automate your finances
Finance automation helps you in creating positive long term habits while fighting the temptation to turn aside from your financial plan. It often becomes difficult for elder people to handle their finances as they physical strength declines. For this reason seniors should automate their finances. They should have pension funds, social security and disability payments deposited directly into their bank accounts. Regular bills like utilities, insurance and mortgage or rent payments should automatically come through your bank account on each set days of the month. That’s why elder people should automate finance because it will help them to use their money easily, safely and they could even keep the track of their money.
- Avoid using cash
Keeping large amount of cash in the house is not advisable coz it will be easily accessed by other people so you need to be careful about that. Using credit card is better as it provides electronic record of when and where money was taken out. And this is far more valuable than you think, if anyone fraudulently purchases with your card “paper trail” can help law agencies to identify the culprit and recover your money. Credit card companies are being more careful about their security of their customers account they decline any unauthorized changes in the person’s account and by this your money remains safe
- Require an authorized signer
Setting up an authorized signer on your bank account helps you to protect your finances. Authorized signer has the authority to sign checks, make deposits and withdrawals on behalf of account holder. This helps in balancing the activity of the account and the account remains safe. But the condition is that the authorized signer must be someone you trust the most so that he will take care of your account.
- Establishing power of attorney
Establishing a power of attorney simply means that you put a person in charge of all your financial affairs, including your property. These agents whom you give the power of attorney can access bank accounts, file tax returns, deal with insurances, ,and mostly manage investments. This power of attorney is often used when a person lacks the mental ability to make decisions or can be any cause of illness.
- Get annual credit report
Annual credit report will help you to maintain your records over your finances so that you will be safe from any fraudulent activities of your account. Credit card Company on your behalf can put a hold to your card if you feel any insecurity. And these days it has become very easy to access your account and look into your reports so this way you will keep your money safe. So these are some of the best ways to keep your finances protected.