Caregivers: Fumble Mom's Money, Go to Jail
Four new guides show you how to manage your parents' financial affairs wisely
The word "fiduciary" gets thrown around a lot in the world of financial advice. But some of the 42 million Americans who are taking responsibility for their relatives may not realize that they, too, may fall into that category.
Maybe you have power of attorney or you've been named as the trustee under a revocable living trust? These are just two situations where you'll likely need to follow the rules that govern fiduciaries.
There's a guide for each of the following situations:
- People named as a power of attorney
- Trustees of a living revocable trust
- Court-appointed guardians
- People who represent a recipient of Social Security or veteran's benefits.
How Many Caregivers Manage Money?
"We know that millions of non-professionals manage someone's money because their family member or friend trusted them and appointed them as a fiduciary in a legal document such as a power of attorney or trust," said Nora Eisenhower, assistant director for the CFPB's Office of Older Americans. Millions more have other relevant financial authority, she added.
