House Bill No. [insert bill number] aims to enhance the protection of eligible adults from financial exploitation by amending existing laws and introducing new provisions. The bill expands the definition of "covered financial institutions" to include brokerage firms, broker-dealers, and financial or investment advisors, thereby allowing these entities to delay financial transactions if exploitation is suspected. It also introduces the concept of "trusted contact persons," who eligible adults can designate to be contacted by financial institutions if there are concerns about potential exploitation. Financial institutions are required to notify these trusted contacts when they suspect exploitation and must provide eligible adults the option to designate such contacts at account opening and annually thereafter.

Additionally, the bill mandates that covered financial institutions develop training programs for their employees to recognize and respond to signs of financial exploitation, covering various fraud schemes. It establishes procedures for delaying transactions when exploitation is suspected, including the requirement to notify trusted contact persons of any delays. The bill also stipulates that delays can be extended upon request from a trusted contact person and outlines the conditions under which a financial institution may be held liable for actions taken or not taken regarding suspected exploitation. Overall, the legislation seeks to create a more robust framework for safeguarding vulnerable adults against financial abuse.

Statutes affected:
HB913 Original: 6:1372(3), 6:1373(C), 6:1374(A), 6:1376(A)