About Designating a Trusted Contact Person and Why You Should
At any age, life events can knock our feet out from under us and shake us to the core. Health challenges, accidents, divorce, bereavement, or financial pressure from relatives can impact our ability to make decisions.
For some people, it means acting on impulse. For others, it means shutting down and not making any decisions at all. It is in circumstances like these that having a Trusted Contact Person can make all the difference.
Why should I designate a Trusted Contact Person?
Should there be a drastic shift in your financial behaviour, decision-making, or communication style, we would contact your Trusted Contact Person with our concerns. Your Trusted Contact Person provides extra protection for you should you become financially vulnerable either because of physical or mental health issues or because other people in your life may be trying to take advantage of you.
For too many senior Canadians, elder abuse is a sad reality. In 2015, the National Initiative for the Care of the Elderly set out to measure elder abuse. In 30% of abuse cases of people over 55, the abuse was financial. That translates into 244,176 Canadians fending off demands for their money, fighting to access their money, and sometimes losing their money – in a single year.
Who is a Trusted Contact Person?
A Trusted Contact Person is someone who knows you well and who has earned your trust to put your best interests first. They can be a friend or relative you stay in touch with regularly, who knows your routine, your habits, and your lifestyle. You’ve talked to this person about what you value in your life and about your plans for the future.
What does a Trusted Contact Person do for me?
Your Trusted Contact Person is someone we can reach out to in an emergency situation should we suspect something is amiss. In turn, they can also reach out to us if they have concerns about you and your financial wellbeing. When contacted by us in accordance with the “Authorization to Contact a Trusted Person in Case of Need” Form -
your Trusted Contact Person is NOT able to:
Request, receive, or communicate financial information related to you and your portfolio.
Make decisions on your behalf with respect to your investment portfolio.
Perform transactions in your investment portfolio.
your Trusted Contact Person may:
Communicate information related to you, your lifestyle, or changes that may affect your ability to make financial decisions that are in your best interest.
Discuss any concerns with us related to changes observed.
Confirm or dispel our concerns about possible incapacity or financial abuse.
Communicate the contact information of your legal representative or the person to whom you have given Power of Attorney.
How is a Trusted Contact Person different from a Power of Attorney?
Unlike your Power of Attorney, your Trusted Contact Person does not make decisions for you or take away your control over your financial affairs. Your Trusted Contact Person can also be your Power of Attorney but it is strongly recommended that you designate a different individual. Actually, your Trusted Contact Person is someone we can reach out to if we feel your Power of Attorney isn’t acting appropriately.
How do I set up a Trusted Contact Person?
Once you have someone in mind, have a conversation with them about what their role as your Trusted Contact Person is and is not. While this is a big responsibility, they are not required to have knowledge or experience in investing, only that they know you well, are in regular contact with you and that they care about you. You provide us with their name and contact details and we add them to your file. It’s as simple as that.
Can I replace my Trusted Contact Person?
Yes, you can. Should you decide to replace them with another Trusted Person, contact us and we will update your file for you.
Life happens and we can’t always see it coming, but we can plan ahead. Having a designated Trusted Contact Person provides an additional safeguard for you and your money and it’s an important and strongly recommended part of wise financial planning. Should you decide that you want to designate your Trusted Contact Person please get in touch or we can update your file with your Trusted Contact Person’s contact information during your next scheduled Portfolio Review meeting.