Financial Consequences of Cognitive Decline: A Growing Concern for Americans
Title: Financial Consequences of Cognitive Decline: A Daughter’s Story of Alzheimer’s Impact
Angela Reynolds discovered the devastating effects of her mother’s cognitive decline when she delved into her finances. Unpaid bills, strange cash withdrawals, and a higher mortgage interest rate were just the beginning. Little did she know, her mother was in the early stages of Alzheimer’s disease.
Reynolds is not alone in facing the financial repercussions of cognitive decline. Research indicates that money problems can be an early warning sign of neurological disorders. A study from Johns Hopkins University revealed that individuals with Alzheimer’s and related dementias were more likely to miss bill payments years before a formal diagnosis.
The prevalence of these conditions is staggering, with nearly 10% of people over 65 living with dementia and twice as many dealing with mild cognitive impairment.
The story of Reynolds and her mother, Jonnie Lewis-Thorpe, highlights the challenges families face when cognitive decline impacts financial decision-making. From missed bill payments to foreclosure proceedings, the consequences can be devastating.
Experts point out that different types of dementia can lead to various financial issues. Alzheimer’s may cause memory loss leading to unpaid bills, while Lewy body dementia can result in fluctuating cognition and impulsive purchases. Vascular dementia can affect judgment, making individuals vulnerable to fraud.
Despite efforts to protect older adults from financial exploitation, the financial industry remains hesitant to implement comprehensive safeguards. Legislation like the Senior Safe Act offers some protections, but more needs to be done to address the risks associated with aging and dementia.
Reynolds’ experience serves as a cautionary tale, underscoring the need for better financial protections for vulnerable individuals. As the population ages, addressing the intersection of cognitive decline and financial decision-making becomes increasingly urgent.
