How to Legally Take Control of Your Elderly Parents Finances

Elderly patients and parents alike need to be handled with care. Elderly people tend to be more sensitive and touchy regarding even the smallest of things. When it comes to finances and management of daily expenses especially, several elderly people are either fleeced or spend more than necessary on basic things. This is primarily a result of dwindling mental strength and lack of attention.

As grown adults, it helps to take control of your parent's finances especially if you notice that they are not being able to manage it properly. Besides making sure that you do so legally, it is also important to ensure that you do it without harming their sentiments. For instance,

Assess bank details

In most families, parents add their children to hold a joint account with banks to ensure safety of funds. However, over the years you may forget who holds the control of which account and to what extent. Before you think of taking complete control of your parent's finances, try to assess the present bank details. If you are already named a nominee or hold the account jointly, it will be easier to change or modify control.

While doing so, discuss the details and your problem with the bank manager. As a financial expert, he will be in a better position to advise you on how to better manage your parent's finances on their behalf.

Some experts may advise you to have your parents hand over total authority to you while others may advise a part control norm. Either way, weigh your options before you plan the next step.

Speak to your family lawyer

Chances are that your parents have already planned their estate distribution and will way before. When you notice that your parents are suffering from age related issues, start talking about your worries with your family lawyer.

The lawyer will be able to guide you and tell you what would be a better way to control or manage finances. If you are worried about your parents losing money due to lack of attention or control in general, it is better to be a signing authority for every financial transaction they make. However, if your concern revolves around just keeping the finances safe for the future even though they are not really wasting money or being fleeced, you may as well take authority in a different way.

Weigh your options

When parents become old, they may suffer from physical problems or mental issues. This is when they need the stable support of a trusted family member. Explore the option of being a power of attorney in this case so you can sign off for any transaction or expense your parents need.

There are several ways to legally manage funds on behalf of someone. You can set up a trust or simply add yourself as a controller to their bank account. Based on the current situation, see what suits your need best.