Each investigation is unique, and no guide can predict all the steps that a particular investigation may need. Some suggested steps may not relate to your investigation while other steps pertinent to your investigation may need to be added.
Credit Cards
For each credit card:
- Obtain credit card statements. Request to Credit Card Companies (PDF).
- Review statements for propriety and schedule out questionable expenditures. Credit Card Review (Excel).
- Red flags related to credit card purchases listed below. Red Flags of FE (PDF).
- Cash advances or check withdrawals with no prior history of such use.
- Large credit card transactions and/or unusual increase in credit card debt.
- Abrupt increase in credit card activity.
- Expenses that are unusual for the victim.
- Purchases made from vendors that are unusual for the victim.
- Items or services being purchased that weren’t typically purchased in the past by the victim.
- Purchases in locations that are unusual for the victim.
- Determine from the victim who has / had control of the credit cards during the time period under review.
Credit Reports
Everyone can obtain a free credit report from each of the three credit reporting agencies once during a 12-month period. All three of reports can be ordered at once or spaced out over the course of the year. It is recommended that the free reports be staggered over the year.
There’s only one official source, authorized by federal law and sponsored by the three major bureaus: AnnualCreditReport.com. This website does not ask for payment, although you may see ads for paid credit monitoring services. If you’re being asked to pay to see your reports, you may have accidentally gone to an imposter website.
The credit reports can be requested online, over the phone, or by mail. The first two methods require the requestor to answer security questions based upon the individual’s credit report. If requesting by mail, it is recommended to use certified mail or a tracking number when mailing in a request. Either service can be used to confirm that receipt of your request by the credit reporting bureau. Specific contact details for each method are found at annualcreditreport.com/gettingReports.action
Identity Theft
During the investigation, be alert for indicators of identity theft. Section 4120 of the Pennsylvania Crimes Code defines identity theft as, “A person commits the offense of identity theft of another person if he possesses or uses, through any means, identifying information of another person without the consent of that other person to further any unlawful purpose.
The Crimes Code contains the following definitions:
- "Identifying information." Any document, photographic, pictorial or computer image of another person, or any fact used to establish identity, including, but not limited to, a name, birth date, Social Security number, driver's license number, nondriver governmental identification number, telephone number, checking account number, savings account number, student identification number, employee or payroll number or electronic signature.
- "Document." Any writing, including, but not limited to, birth certificate, Social Security card, driver's license, nondriver government-issued identification card, baptismal certificate, access device card, employee identification card, school identification card or other identifying information recorded by any other method, including, but not limited to, information stored on any computer, computer disc, computer printout, computer system, or part thereof, or by any other mechanical or electronic means.
Perpetrator’s Financial Records
When reviewing the perpetrator’s financial records, the items to review include, but are not limited to, the following:
- Deposits that match withdrawals or checks written from the victim’s account.
- Lack of withdrawal activity that one would expect from an adult (no rent or mortgage payments, no ATM withdrawals, no payments for typical bills). These expenses could be being paid from the victim’s accounts.
- Conversely, habitual spending beyond the suspect’s discernible income. How is this being financed?
Power of Attorney Documents
With a power of attorney (POA) document, one person, known as the principal, authorizes another person, the agent, to act on the principals behalf. The permitted duties the agent can undertake are outlined in the document and in the Pennsylvania Power of Attorney Act (20 Pa. C.S. § 5601 et seq.)
In regards to the Agent’s duties, § 5601.3 of the PA Power of Attorney Act states includes the following general rule:
Notwithstanding any provision in the power of attorney, an agent that has accepted appointment shall:
- Act in accordance with the principal's reasonable expectations to the extent actually known by the agent and, otherwise, in the principal's best interest.
- Act in good faith.
- Act only within the scope of authority granted in the power of attorney.
Do not take anyone’s word that they are the power of attorney agent. Obtain the document.
The PA Power of Attorney Act requires the POA document to contain certain items to be a valid document.
- Does the document contain the required Acknowledgement/Warning Notice signed by the victim? This is in all capitals and is the first page of the document.
- Does the document contain the required Acknowledgement signed by the agent?
- For POA documents signed after January 1, 2015, was the document witnessed by two people, neither of whom is the agent?
- For POA documents signed after January 1, 2015, was the document notarized?
Note: POA’s executed before January 1, 2015, are still valid without being notarized or witnessed and containing the old acknowledgement forms.
Other items to consider when reviewing a POA document.
- Does the document appear to be signed by the victim based on comparison to other signature samples?
- Did the victim have capacity on the date the document was signed?
When reviewing the principal/ Victim’s financial records:
- Does the agent appear to be acting in the best interest of the victim?
- If the agent is writing checks to him/herself or other individuals – does the document allow for gifting?
Limited Gifting – limited to the federal gift tax exemption amount (see IRS guideline) and only to certain family members
Unlimited Gifting – the document must specify guidance on how the unlimited gifting is to be carried out.
- Are there any evidence of financial exploitation? Red Flags of Financial Exploitation contains a section relating to fiduciaries.
Real Property
For each property:
- Find who currently owns the property through the tax assessment office or the Recorder of Deeds office in the county where the property is located (public information).
- If no longer owned by victim or if with a new joint owner(s), obtain copy of deed (public information).
Does the victim’s signature appear to be forged?
Did the power of attorney (POA) agent sign for the victim?
If the property was refinanced when the new joint owners were added to the deed, are those new owners listed as co-borrowers on the mortgage?
Confirm sale with the victim.
- Review sales price for reasonableness. (Comparable prices can be found on Real estate websites such as Zillow.com.)
- Verify sale proceeds were deposited into victim’s account or used for the victim’s benefit.
- It may be necessary to obtain the settlement sheet to see how the sale proceeds were distributed e.g., mortgage holder, seller, back taxes. Settlement sheets can be obtained from the victim, their real estate agent who handled the sale or the title company. The title company may be listed on the deed filed with the Recorder of Deeds.
- If the home is still owned by victim, are there any liens or mortgages on the property? Obtain copy.
Does the victim’s signature appear to be forged?
Did the POA sign for the victim?
Were the proceeds deposited into the victim’s account?
Confirm liens / mortgages with the victim.
For suspicious real estate transactions:
- What was the relationship between the victim and the buyer?
- Was the victim mentally capable of understanding the transaction?
- Did the buyer promise anything to the victim in exchange for the sale?
- Obtain all paperwork documenting the transaction.
If the victim owns a rental property, are the rental payments being deposited into the victim’s account?
Occasionally financial exploitation can result in the victim losing their real property and /or being evicted. Listed below are some situations that can result in loss of property / eviction. If the victim needs assistance, and is 60 or older, please contact your local Area Agency on Aging.
- There are unpaid taxes.
- The property is listed in a sheriff’s or other government property sale announcement.
- The victim sold or gave their home to someone with the understanding that the victim could stay there, and there is not a written tenancy agreement documenting this agreement.
Scams
The variety of scams committed against victims of any age is endless. When talking to a victim or reviewing their financial records, please be aware for characteristics of common scams such as:
- Threatening to take action against the victim, e.g. legal action/ arrest / credit report if they don’t send money.
- Requiring the victim to pay money in order to receive a prize or lottery winning.
- Offering deals too good to be true, “high-profit, low risk.”
- Pressuring the victim into making a quick decision to invest / purchase something.
- Telling the victim to keep the deal or conversation quiet and not tell anyone.
- Requiring the victim to send money by wire transfer / money order / gift cards.
- Failing to perform work paid by the victim.
- Doing subpar work that has already been paid for by the victim.
Important: If someone reports that money was just mailed as part of a scam, obtain as much information as possible regarding the date, the address of the receiver, the address of the person mailing the item, a description of the item, and tracking or other identifying number. Immediately contact the delivery company. For items mailed through the United States Post Office, contact the local postal inspectors. There is a brief opportunity to intercept the package / envelope.