Financial Exploitation Prevention Act of 2025
House Committee Advances Financial Exploitation Prevention Act to Shield Seniors From Investment Fraud
Stalled
No legislative action in over 90 days.
Legislative Progress
Key Points
- Lets mutual funds and their account service companies choose to use new anti-fraud steps for people who hold accounts directly with a fund (not through a brokerage).
- If the fund suspects a withdrawal is tied to financial exploitation of an older or impaired adult, it can delay paying out the money for up to 15 business days.
- The delay can be extended by 10 more business days if the fund documents its concerns, starts an internal review, and tries to notify a trusted contact picked by the customer.
- Customers would be asked to name at least one trusted adult contact, and the fund must tell customers in writing how and why that person might be contacted.
- The Securities and Exchange Commission must send Congress a report within 1 year recommending more changes to better stop exploitation of these investors.
Impact Analysis
Personal Impact
How this policy affects specific groups of people
Milestones
Placed on the Union Calendar, Calendar No. 313.
The bill is now on the schedule for the full chamber to consider. It's in line for debate and a vote.
Reported (Amended) by the Committee on Financial Services. H. Rept. 119-361.
Ordered to be Reported (Amended) by the Yeas and Nays: 50 - 0.
The committee approved this bill and is sending it to the full chamber for a vote. This is a significant step — most bills never get this far.
Committee Consideration and Mark-up Session Held
Referred to the House Committee on Financial Services.
Votes
No votes have been recorded for this legislation yet.
Source Information
Document Type
Congressional Bill
Official Title
Financial Exploitation Prevention Act of 2025
Data Sources
Sponsor
Cosponsors
(11)Analysis generated by AI. Always verify with official sources.