HB207 Alabama 2020 Session

Updated Feb 26, 2026

Notable

Summary

Primary Sponsor: Chris BlackshearRepresentative
Republican
Session: Regular Session 2020
Title: Financial institutions, authorized to refuse to execute or delay execution of certain financial transactions involving account of an elderly or vulnerable adult
Summary: HB 207 would let banks delay or refuse transactions involving elderly or vulnerable adults suspected of financial exploitation and create tools to contact trusted people and report concerns.
What This Bill Does
Allows a financial service provider to refuse or delay a financial transaction on an account of an elderly or vulnerable adult, on an account where the elderly or vulnerable adult is a beneficiary, or on an account of a person suspected of exploiting them, when there is reasonable cause to suspect exploitation. It also lets the institution offer to the elderly or vulnerable adult the chance to submit and periodically update a contact list of people to reach if exploitation is suspected. If exploitation is suspected, the provider must notify authorized contacts and report the incident to the Department of Human Resources and law enforcement, with certain exceptions. The act provides immunity for providers and their staff acting in good faith.

Who It Affects
Elderly adults (65+) and vulnerable adults (18+ with impairment) and the accounts they hold or benefit from, who could have transactions delayed or blocked to protect them from exploitation.
Financial service providers (banks, credit unions, and similar institutions) and their employees/officers, who gain authority to delay/refuse transactions, manage contact lists, and report suspected exploitation, with legal protections for reasonable actions.

Key Provisions
Allows a financial service provider to refuse or delay a financial transaction on an elderly or vulnerable adult's account, on a beneficiary account, or on an account of a suspected perpetrator when there is reasonable cause to suspect exploitation.
Allows the institution to offer to the elderly or vulnerable adult the opportunity to submit and regularly update a list of contacts to reach when exploitation is suspected.
Defines key terms used in the act (account, elderly adult, financial exploitation, financial service provider, financial transaction, vulnerable adult).
Requires notification of authorized parties and reporting to the Department of Human Resources and law enforcement if exploitation is suspected, with some exceptions for suspected perpetrators.
Provides immunity from criminal, civil, and administrative liability for providers and their officers/employees acting in good faith.
Allows disclosure and limited sharing of information with listed contacts, co-owners, beneficiaries, or third parties associated with the elderly or vulnerable adult, and permits the provider to limit disclosed information.
Effective date of January 1, 2021; repeals conflicting laws but preserves certain protections under existing Vulnerable Adults laws related to broker-dealers and investment advisors; does not alter existing contracts.

AI-generated summary using openai/gpt-5-nano on Feb 22, 2026. May contain errors — refer to the official bill text for accuracy.
Subjects: Financial Institutions