HB147 Alabama 2021 Session

Summary

Primary Sponsor

Chris BlackshearRepresentative

Republican

Session

Regular Session 2021

Title

Financial institutions, authorized to refuse to execute or delay execution of certain financial transactions involving account of an elderly or vulnerable adult when financial exploitation may have occurred, may have been attempted, or is being attempted

Summary

HB147 would let financial institutions delay or refuse certain transactions involving elderly or vulnerable adults when financial exploitation is suspected, and allow them to use a contact list to help protect those individuals.

What This Bill Does

The bill authorizes financial institutions to refuse or delay a financial transaction on accounts of elderly or vulnerable adults, on accounts where such adults are beneficiaries, or on accounts of suspected perpetrators, when there is reasonable cause to suspect exploitation. It allows institutions to offer the affected adult the option to submit and periodically update a contact list of people to be contacted in these situations. It requires notification to authorized account contacts and reporting to the Department of Human Resources and law enforcement when exploitation is suspected, while preserving the institution's discretion and not forcing a transaction to be blocked. It provides immunity from liability for institutions and staff acting in good faith, and allows limited sharing of information with listed contacts or related account parties.

Who It Affects

• Elderly adults and vulnerable adults: may have certain financial transactions delayed or refused if exploitation is suspected, and can participate in creating/updating a contact list to be reached in such cases.
• Financial service providers (banks, credit unions, etc.): gain authority to delay/refuse transactions, to share suspicion with designated contacts, to receive immunity for acted-upon decisions, and to implement contact-list procedures to protect at-risk customers.

Key Provisions

• Allows a financial service provider to refuse or delay a financial transaction if there is reasonable cause to suspect financial exploitation.
• Permits the provider to offer the elderly or vulnerable adult the opportunity to submit and periodically update a contact list of persons to be contacted when exploitation is suspected.
• Requires the provider to notify one or more authorized parties and to report exploitation to the Department of Human Resources and law enforcement, with exceptions for the suspected perpetrator.
• Provides immunity from criminal, civil, and administrative liability for good-faith actions taken under the act by the provider or its officers/employees.
• Allows information sharing with listed contacts or related account parties, with confidentiality limitations and the option to limit disclosed details.
• Defines key terms (account, elderly adult, vulnerable adult, financial exploitation, financial service provider, financial transaction) and clarifies that the act does not alter existing contracts or certain existing protections; the act takes effect January 1, 2022.

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