(WTNH)-October is Domestic Abuse Awareness Month and its an important reminder to watch out for signs of financial abuse with a loved one. Financial expert John Caserta has tips for identifying financial abuse.
- The National Coalition Against Domestic Violence (NCADV) estimates that nearly 95-99% of victims who have experienced some form of domestic violence, including physical, emotional, psychological, and sexual have also experienced financial or economic abuse.
- Financial abuse has many forms including:
- Controlling how money is spent
- Preventing a victim from working or forcing them to quit a job
- Stealing a partner’s identity
- Coercing the victim into financial transactions
- Other forms of financial abuse identified by experts:
- Filing false insurance claims
- Refusing to pay child support
- Hiding assets or obscuring financial transactions
- Engaging in excessive or unusually large cash transactions
- Withholding basic living resources, medication, or food
Financial Abuse Risk Factors
- A history of other forms of abuse in the relationship.
- Poor health or some form of cognitive impairment, which is often seen with elderly victims.
- Lack of a social network of family or friends that can help identify scams.
- Unfamiliarity with financial matters.
- Having family members with substance abuse problems.
Creating a Healthy Financial Relationship
- Both partners have access to financial records and knowledge of existing accounts.
- Financial decisions are made jointly.
- Both partners meet with financial, legal, and tax professionals.
- Documents are reviewed and signed together.
- Each partner has equal access to money.
- Determine financial powers of attorney when you are in good health physically and mentally.
Resources
- Purple Purse – A non-profit organization sponsored by Allstate.
- National Coalition Against Domestic Violence ncadv.org
- National Domestic Violence Hotline 1-800-799-7233.
