Financial Elder Abuse:
Recent Updates and Reporting Obligations

Instances of elder financial abuse and exploitation continue to be an issue for financial institutions. Fraudsters are constantly changing their tactics and consistently finding ways to defraud older adults. Many believe financial institutions are uniquely positioned to detect this type of fraud and to take appropriate action to prevent the exploitation of elderly customers. For example, five federal financial regulatory agencies, the Financial Crimes Enforcement Network, and state financial regulators recently issued a statement to provide supervised institutions guidance on risk management and other practices to help identify, prevent, and respond to elder financial exploitation. California also imposes a mandatory legal obligation on financial institutions to report known or suspected instances of elder financial abuse. However, there are certain legal restrictions that limit what financial institutions can do to prevent financial elder abuse.

 

Thus, it is important for financial institutions to understand what their obligations are when they suspect a customer may be a victim of financial elder abuse or exploitation. During this Webinar, we will examine the obligations imposed on financial institutions to report financial abuse, including compliance with the California Financial Elder Abuse Reporting (FEAR) Act, as well as various guidance that highlights behavioral and financial red flags to aid financial institutions with identifying, preventing, and reporting suspected elder financial exploitation.

 

Join us for this Webinar as we consider these topics as well as other common questions regarding financial elder abuse.

 

This comprehensive Webinar will cover various forms of deposit promotions, including lotteries and sweepstakes, and their compliance considerations.

 

California makes it easier for financial institutions to offer lottery promotions in connection with savings accounts. We will discuss lotteries, both legal and illegal. The presentation will also address pressing questions related to other kinds of promotions. When is an account really “free” and what are the risks associated with these types of promotions? We will take a closer look at the “lessons learned” by other institutions. Privacy and other considerations impacting “refer a friend” promotions will be addressed. The creative and ever-changing programs used to entice CD deposits will be explored as well.

 

We will also review the regulatory compliance expectations, including Regulation DD advertising disclosure requirements and IRS information reporting.

 

 

Handling Levies and Executions

Attempting to determine whether a debtor listed in a levy maches an institution’s customer as identified by the institution’s records can prove to be quite challenging, even to the very experienced. It does not help that the form of levy will be different depending on whether being served by a sheriff, registered process server or one of the various government agencies.

 

There is also significant risk of liability in making the wrong decision, either to the customer for wrongfully debiting an account or the levying creditor for failing to turn over the funds.

 

This Webinar will discuss the necessary steps in processing the different types of levies that are often served on financial institutions. We will also review the various forms and discuss examples to help you better understand how best to deal with any given levy.

 

 

Records Management:
More than Record Retention

Records management involves much more than setting retention periods for specific records. A proper records management program not only facilitates efficient banking operations, but serves as a powerful legal risk management tool. For example, when faced with examinations, lawsuits, investigations or other circumstances where producing accurate and timely information is crucial, a good records management program will minimize the risk of legal liability and sanctions. Thus, financial institutions need to adopt a comprehensive records management policy appropriate to the size and nature of the institution.

 

A records management policy that will be appropriate for an institution is driven by a number of important considerations, such as business necessity, the need to enforce contracts, evidentiary concerns, the threat of legal sanctions, and cost management considerations. Due to the complex issues involved, preparing an appropriate records management policy can be overwhelming. This Webinar will provide an overview of the foundational issues institutions should consider when preparing a records management policy. Participants will receive a schedule of legal retention requirements for corporate, lending, and deposit related records.