A Note from our CEO, Scott Soderberg

There are, unfortunately, many ills in our world for which there are no easy or complete cures. Occasionally, however, focusing on a specific problem gives rise to real solutions. The scourge of financial crimes against vulnerable adults is one example of an evil that is not new, but one that has grown to epidemic proportions. We (along with all other financial institutions) see far too many elderly and/or vulnerable adults being targeted by fraudsters. These criminals take full advantage of their victims’ trusting nature, and they have become frighteningly effective in their methods. And financial institutions have been powerless to contact the victim’s family members, friends, or associates (who are not on the relevant account) for help in explaining the potentially dangerous situation to the affected person--even when employees recognize the warning signs and strongly advise the customer they are likely the target of a scam.

Until now.

In March of this year, the Wisconsin Legislature passed and Governor Evers signed Wisconsin Act 132, Financial Exploitation of Vulnerable Adults (Wis. Stat. Sec. 224.45; see (000001.ildoc) (wisconsin.gov)). This new law enables financial institutions to offer a vulnerable adult the opportunity to submit and update a list of persons who are authorized to be contacted by the financial institution when it reasonably suspects the customer may be a victim of financial exploitation. Also, in addition to those on any list that might be created, institutions are also authorized to contact any co-owner, authorized signer, or beneficiary on the vulnerable person’s account. Finally, (and in my mind most importantly) the new law authorizes contact with any person known by the institution to be a family member of the vulnerable adult, including a parent, spouse, adult child, or sibling. This is especially powerful for community banks, where close customer relationships are the norm.

I know from personal and professional experiences that this law WILL make a difference. The #1 tactic that makes these scams so effective is that they completely isolate the victim from family and friends.

A key factor in this fight was the Wisconsin Bankers Association (WBA), which tirelessly expended a great deal of time and advocacy educating legislators about the rampant victimization of these vulnerable individuals. The result of these efforts, while not a cure, is a potent new weapon aimed directly at the enemy. We can all take it a step further by recognizing vulnerabilities in those we care about—and by being on the list.