Texas Senate Bill SB792

Texas 2017 - 85th Regular

Caption

Relating to requiring financial institutions to report the suspected financial abuse of elderly persons; providing a civil and criminal penalty.

Impact

The implementation of SB792 would significantly alter how financial institutions operate regarding elderly clients. Institutions would be obligated to develop a reporting framework for suspected financial abuse, which would necessitate training programs for employees to identify potential abuse indicators. Failure to comply with the reporting requirements set forth in the bill could result in civil penalties for the institutions. This change emphasizes preventive measures and encourages active participation from financial organizations in safeguarding the elderly's financial security.

Summary

Senate Bill 792 aims to combat financial abuse of elderly persons by establishing a mandate for financial institutions to report any suspected incidences of such abuse. The bill defines financial abuse comprehensively, encompassing actions that include the wrongful taking or retention of an elderly person's property by individuals in positions of trust or confidence, such as family members or caregivers. By providing clear definitions and communication channels for reporting, the bill seeks to enhance the protection of vulnerable elderly populations from financial exploitation.

Contention

The bill may encounter resistance primarily from financial institutions concerned about additional compliance burdens and potential liabilities arising from reporting requirements. Critics may argue that the law requires institutions to act as investigators, complicating their role in financial services. Additionally, some may question the adequacy of protections for institutions that act in good faith when reporting suspected abuse and whether the proposed penalties for non-compliance may create undue anxiety concerning normal banking operations and client relationships.