Financial Literacy Part 2

Originally published on October 16, 2015

Today’s blog, while not about the Blue Jays winning the series (I was having a tough time finding the ‘estates’ connection), continues with the theme from my colleague Paul Fensom’s blog from October 14, 2015. I have written previously on the issue of financial literacy for the banking community. I shared my concerns that there does not seem to be a consistent ‘best practice’ approach by financial organizations when dealing with clients who may no longer have capacity. The questions posed in my earlier blog (May 13, 2015) included:
-When is capacity challenged and by whom?
-Can the bank require that a POA for care be named at the time they are named?

-How does the bank know what the client needs in terms of health care planning?
-How can the trust officer be assured that their client is living as well as they can, especially as their client is aging and their capacity starts to be compromised?
-At what point is the office of the PGT called in?
-How does care dictate where money should be spent when there is concern of capacity and no available POA making these care decisions?

These questions deal with the financial institution when they are acting as the POA for property. Issues in regards to how financial institutions should deal with situations of suspected financial abuse is of equal or even greater significance. I am not sure if the BC Consultation Paper referenced in Paul’s blog will address these issues; I am hopeful it is a start.

Ps. Go Jays Go

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