When you're worried about an older client: noticing, recording and getting help
When an advisor is worried that an older client may be confused or under pressure from someone else, a small RIA should write down what was observed and when, factually and without diagnosis, slow down any unusual money requests and confirm them carefully, involve the firm's compliance consultant early, and use any trusted contact the client has named. Ask clients to name a trusted contact while they're well, so there's someone to call later.
A client in their eighties, someone the advisor has known for fifteen years, calls three times in a week asking the same question. Then a nephew nobody has met phones to say the client wants $60,000 moved to a new account. Nothing is clearly wrong. Everything feels off. This is one of the hardest situations a small firm faces, and the worst response is to do nothing and write nothing down.
What should you write down?
| Record | Example |
|---|---|
| What you observed, factually | Asked the same question three times in a ten-minute call |
| Dates and times | Calls on 3, 5 and 6 March |
| Who else was involved | A caller identifying as a nephew, not previously known to the firm |
| Any request and what you did | Request to move $60,000; not processed pending confirmation with the client |
| Who you told | Compliance consultant, the trusted contact on file |
No diagnosis, no guesses about motives. Just what happened.
What's the routine?
- Slow down unusual money requests. Confirm directly with the client, on the number on file, ideally in a conversation without the third party present.
- Write it down the same day.
- Involve your compliance consultant early. They can advise on your options and any obligations.
- Use the trusted contact if the client has named one and the situation fits what they agreed to.
- Keep the client at the centre. Talk to them directly, respectfully, and record what they say they want.
What can you set up now?
- Ask every client, especially older clients, to name a trusted contact, and record it with their consent.
- Note who has authority on each account, from the documents.
- Write a short procedure for concerns like this, agreed with your compliance consultant.
A worked example
Take the situation above at a hypothetical two-person RIA. The advisor writes down each call and the nephew's request that day. The request isn't processed; the advisor calls the client directly and arranges a meeting with the client alone, where the client seems unsure about the request. The firm involves its compliance consultant, contacts the trusted contact the client named two years earlier, and records every step on the client's record.
What are the common gaps?
- Concerns noticed but never written down.
- No trusted contact on file.
- Money moved on a third party's word.
- Waiting too long to ask for advice.
When is this overkill?
It isn't. Asking for a trusted contact takes a minute at onboarding or a review, and makes a hard situation more manageable later.
How Advorra fits
Advorra keeps households, members, communications, tasks and the incidents and complaints log on one record, so dated notes of what was observed, who was told and any request on hold sit with the client. Accounts can be put on trade hold while you confirm instructions. See the product page, or read about verifying client money instructions and keeping client details current.
One thing to do this week: check which of your clients over 75 have a trusted contact on file.
An operations routine, not legal, medical or compliance advice. Get advice for specific situations.
Questions advisors ask
Should we ask clients for a trusted contact?
Many firms do, as a person they can contact if they're worried about the client's wellbeing or can't reach them. Ask while the client is well, and record their consent.
Can we refuse a money request if we're worried?
Your options depend on your agreements, the custodian's process and the rules that apply to your firm. Talk to your compliance consultant before acting, and record your reasoning.
Should we diagnose anything?
No. Record what you saw and heard, such as repeated questions or an unfamiliar person directing a request, not a medical opinion.
Who should we involve?
Your compliance consultant, and where appropriate the custodian. Some situations may need to be reported to authorities; your consultant can advise.
Is this legal advice?
No. It is an operations routine. Get legal and compliance advice for specific situations.
See it on a demo firm
Advorra is practice software for independent RIAs: clients, models, IPS, billing and compliance records in one place, on top of the custodian you already use. Built by The CollabHub.
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