LANSING, Michigan (WJRT) – A new law comes into effect Sunday in Michigan to help protect people from scams.
The Financial Abuse Prevention Act will provide new protections for vulnerable adults.
“It really is an epidemic and so we wanted to find a way to better handle the situation that we see time and time again. We have old people who have worked so hard to build lifelong savings that they can retire on, and then you have someone scamming them and they can literally lose everything they worked so hard to build. in one transaction, ”said Michigan Attorney General Dana Nessel.
The new law requires financial institutions like banks and credit unions to train their employees and put procedures in place to better recognize signs of financial abuse and take action to prevent a scam.
This includes asking questions during a suspicious transaction by suspending the transaction for up to 10 days to give law enforcement a chance to ensure it is legitimate.
They didn’t have that ability, they really didn’t have a choice. But now it really gives them the power to try and work with their clients. I mean, they have the same interest as us. Financial institutions want to protect their customers, law enforcement agencies want to protect our citizens. And so it’s really a way for us to work together just to make sure people’s money is protected, ”Nessel said.
The attorney general says there are currently about 73,000 acts of abuse, neglect and economic exploitation of the elderly each year.
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