Financial abuse occurs when a person manipulates and/or misuses another’s money and other financial resources without the owner’s explicit knowledge or express consent. It can include withholding money, controlling spending, or refusing to include you in financial decisions.

It can happen to anyone.

It occurs in many forms and usually consists of a number of actions over time, rather than a single event. Common examples include:

• Limiting or denying access to someone’s own finances (bank accounts, cash or financial documents).

• Controlling all the decisions about money and finances, including limiting amount spent on basic expenses.

• Stopping someone from earning their own money.

• Taking out loans and/or credit cards in someone’s name, without their knowledge or consent.

• Making someone guarantee a loan.

• Forging someone’s signature on financial documents.

• Not paying their share of joint loans or delaying property settlements to cause financial stress to someone else.

• Transferring a property or other assets out of the person’s name.

• Trying to ruin a person’s credit rating by not paying debt.

Elder

Elder financial abuse occurs when someone trusted or in a position of authority uses an older person’s money, property or other assets illegally or improperly.

It can take different forms such as deceit, forgery, coercion through bullying and/or intimidation and the misuse of Power of Attorney or Guardianship instructions.

It can be perpetrated by family members, caregivers, financial advisers or strangers.

Family/Domestic

This type of abuse occurs when a person uses money, property or other assets to gain power and control over their partner.

In Victoria, the law states that financial abuse is a form of family violence. Research states that up to 90% of people who seek help for family/domestic violence are also affected by financial abuse^[i]. Some examples of family/domestic financial abuse include:

• One partner denies access to bank accounts

• One partner limits and controls the amount of money spent in the household. This may be for groceries or allowances and requires the other person to provide detailed explanations of how the money is spent

• One partner not allowing the other to work or study

• One partner forces the other to sign documents, take out loans or act as a guarantor

• One partner denies the other an entitlement to a joint property

This type of financial abuse can be subtle. It may not be until a relationship has ended that the other partner realises that they’ve been a victim of financial abuse.

Disability

This type of abuse occurs when a person misuses or spends the money or property of another person with a physical and/or mental disability. It can also include situations where a Power of Attorney make decisions to benefit themselves. This is usually done without their full knowledge, consent or understanding.

Cultural

This type of abuse occurs when cultural expectations around money management is used to manipulate another person. In some communities, it may be culturally accepted that men control the money. This can lead to financial abuse if the control is not being used to benefit the wellbeing of all members of the family.

We know it can be difficult to ask for and find help if you’re experiencing financial abuse. We have compiled a list of trusted organisations that can provide you with the help you need.