In a recent rampant financial elder abuse scam, unethical financial advisors are giving misleading advice to veterans about purchasing annuities. The elder abuse scam relates to the federal Aid and Attendance benefits program that provides a pension to low-income veterans and their spouses. Because the aid plan is specifically aimed at low-income veterans, many individuals do not qualify. Nevertheless, certain financial advisors and investment salespeople have been wrongly convincing elder veterans that they can qualify for this pension if they transfer their assets and income into inappropriate annuities.
This practice and false advice can be incredibly harmful to elder veterans. Not only are they participating in fraudulent activity by hiding their assets in order to be eligible for a low-income pension, but they are also “locking up” their assets in complex and inappropriate annuities that make their own money inaccessible to them. And to make matters worse, the financial planners and insurance agents who target veterans with this misleading advice gain huge profits from the transfer in the form of commissions and fees.
The Senate Special Committee on Aging and the National Association of Insurance Commissioners have recently brought attention to these abusive practices, and Congress has proposed legislation to stop and prevent further sales of inappropriate annuities and money transfers to veterans.
The Evans Law Firm represents victims of financial elder abuse in California, including elder victims of inappropriate annuities sales. If you believe that you or a loved one has been sold an inappropriate annuity, contact The Evans Law Firm in California at 415-441-8669 for a free and confidential consultation, or email firstname.lastname@example.org.