AFC CHALLENGES
Identity theft is a rising concern for children . According to the National Foundation to End Child Abuse and Neglect , children are 50 times more at risk of being victims of identity theft than adults due to their lack of credit history coupled with the fact that children do not have a need to check their credit scores . 18 This results in a keen opportunity for thieves to use a relatively clean slate and go undetected .
How can FIs help ?
There are three primary ways FIs can help :
1 . Monitor for red flags that might indicate all forms of financial abuse and emerging scams and issues .
2 . Train employees and customers to monitor for red flags and share bulletins on emerging schemes and issues as they are made available .
3 . Design programs to assist with opening accounts for vulnerable populations regardless of age .
Conclusion
Financial abuse is a broad problem that can impact all populations in a variety of ways , and FIs are in a keen position to provide a safer banking environment for survivors , identify additional criminal activity and possibly save more lives . This is another way to accomplish the goal of providing a banking system that is safe and accessible to everyone while rooting out criminal activity that puts customers at risk .
Stephanie Bye , CAMS , SVP Financial Crimes , WA , USA , sbye @ quonticbank . com
1
“ Domestic Violence ,” Office on Violence Against Women , U . S . Department of Justice , https :// www . justice . gov / ovw / domestic-violence
2
“ Recovering from Elder Financial Exploitation ,” Consumer Financial Protection Bureau , September 2022 , https :// files . consumerfinance . gov / f / documents / cfpb _ recovering-from-elder-financial-exploitation _ report _ 09-2022 . pdf
3
“ EAPPA Data Overview ,” U . S . Department of Justice , https :// www . justice . gov / elderjustice / eappa
4
“ Elder Fraud ,” Internet Crime Complaint Center , https :// www . ic3 . gov / Content / PDF / Elder _ Fraud _ Tri-fold . pdf
5
“’ Pig Butchering ’ Scams : What They Are and How to Avoid Them ,” FINRA , December 13 , 2022 , https :// www . finra . org / investors / insights / pig-butchering-scams
6
“ 2022 Elder Fraud report ,” Federal Bureau Investigation , https :// www . ic3 . gov / Media / PDF / AnnualReport / 2022 _ IC3ElderFraudReport . pdf
7
James Royal , “ Cryptocurrency statistics 2023 : Investing in Crypto ,” Bankrate , August 31 , 2023 , https :// www . bankrate . com / investing / cryptocurrency-statistics /
8
“’ Phantom Hacker ’ Scams Target Senior Citizens and Result in Victims Losing their Life Savings ,” Federal Bureau of Investigation , September 29 , 2023 , https :// www . ic3 . gov / Media / Y2023 / PSA230929
9
“ Recovering from Elder Financial Exploitation ,” Consumer Financial Protection Bureau , September 2022 , https :// files . consumerfinance . gov / f / documents / cfpb _ recovering-from-elder-financial-exploitation _ report _ 09-2022 . pdf
10
“ About Financial Abuse ,” The National Network to End Domestic Violence , https :// nnedv . org / content / about-financial-abuse /
11
“ National Statistics ,” The National Coalition Against Domestic Violence , https :// ncadv . org / STATISTICS
12
Ibid .
13
“ About Financial Abuse ,” The National Network to End Domestic Violence , https :// nnedv . org / content / about-financial-abuse /
14
“ Before and Beyond Crisis : What Each of Us Can Do to Create a Long-Term Ecosystem of Support for All Survivors ,” FreeFrom , p . 34 , https :// www . freefrom . org / wp-content / uploads / 2022 / 08 / Beyond-Crisis-PDF . pdf
15
“ Child Maltreatment 2021 ,” U . S . Department of Health & Human Services , 2023 , https :// www . acf . hhs . gov / cb / data-research / child-maltreatment
16
“ What is Financial Child Abuse ?” The National Foundation to End Child Abuse and Neglect , https :// endcan . org / 2021 / 10 / 21 / 3-forms-of-financial-child-abuse /
17
“ Financial Abuse in a Child / Parent Relationship ,” Syracuse University , October 17 , 2022 , https :// financialaid . syr . edu / financialliteracy / 2022 / 10 / 17 / october-2022-financialabuse-in-a-child-parent-relationship /
18
“ What is Financial Child Abuse ?” The National Foundation to End Child Abuse and Neglect , https :// endcan . org / 2021 / 10 / 21 / 3-forms-of-financial-child-abuse /
32 acamstoday . org