Jun 18, 2026
Jean, an 84-year-old from Chattanooga, Tennessee, had never managed her wealth management accounts online.
No apps, no online portal — just phone calls and direct mail, the way she’d always done it. Which is why it was so alarming when her firm sent her a letter asking whether she had recently changed her email address and her linked bank account.
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She hadn’t.
What followed, as Jean explained in a call to The Ramsey Show, was the discovery that someone had stolen her identity to open a checking account at another bank, then used that account to electronically link to her wealth management account and drain $45,500 from a balance of $169,790.
By the time the firm attempted to reverse the transaction, the money was gone.
“I think that’s on them,” Dave Ramsey said, since it was the firm’s site that got hacked.
Ramsey went further, noting that the firm had apparently allowed someone to change Jean’s email address and linked bank account — sensitive security details — without triggering any verification with the actual account holder.
“Cybersecurity at a minimum is horrible at this company,” Ramsey added.
What the law actually says
Ramsey’s instinct aligns with regulatory expectations.
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The Financial Industry Regulatory Authority’s 2026 Annual Regulatory Oversight Report makes clear that brokerage firms are required under SEC Regulation S-P and Regulation S-ID to maintain written policies and procedures intended to detect, prevent and mitigate identity theft — including programs that specifically address unauthorized account access and fraudulent fund transfers.
Firms must also notify affected customers when their sensitive information has been accessed without authorization.
According to a legal analysis by Lowenstein Sandler, the Securities and Exchange Commission has actively pursued enforcement actions against investment advisers who failed to maintain adequate identity theft prevention programs — with the agency flagging Regulation S-P and Regulation S-ID compliance as explicit examination priorities for 2026.
In one recent case, an adviser was sanctioned after email account takeovers allowed unauthorized actors to access customer accounts over a multi-year period.
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In Jean’s case, if her wealth management firm allowed someone to change her email and bank account information without proper verification — and then released funds to that new account — the firm may have violated its own regulatory obligations. This creates potential grounds to demand reimbursement.
According to FINRA’s dispute resolution guidance, investors have several avenues. These include, among others, contacting the firm directly to resolve the issue, filing an investor complaint with FINRA to flag suspicious activity or filing a formal arbitration claim — which is typically faster and less complex than litigation.
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A growing crisis for older Americans
Jean’s situation is far from isolated. According to the Federal Trade Commission (FTC), fraud losses reported by adults 60 and older quadrupled between 2020 and 2024 — rising from roughly $600 million to $2.4 billion.
But because most fraud goes unreported, the FTC estimates the true toll in 2024 may have reached as high as $81.5 billion. In 2025 alone, people 50 and older reported $4.3 billion in fraud losses, whereas their younger counterparts lost about $2.3 billion.
Identity theft in particular is surging among older victims. According to Fox News’ analysis of FBI data, identity theft claims from Americans 60 and older jumped 70% in 2025 to $48.5 million in reported losses. And when older adults lose money to fraud, their median individual losses are significantly higher than those of other age groups.
What Jean or anyone in this situation should do
Ramsey’s first directive to Jean, before doing anything else, was to call the firm and confirm the remaining balance is secured. Then demand reimbursement on the grounds that the account was compromised through the firm’s own security failure.
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If the firm resists, FINRA arbitration is the standard avenue for investment account disputes. FINRA notes investors aren’t required to hire an attorney to file, but brokerage firms typically bring experienced defense counsel, so professional representation is worth considering.
Victims can also file complaints online directly with the SEC at sec.gov/tcr and with the FTC at ReportFraud.ftc.gov.
Jean would also be wise to freeze her credit immediately at all three bureaus — TransUnion, Equifax and Experian — and monitor all existing accounts for further unauthorized activity.
As Ramsey and co-host Jade Warshaw noted, whoever did this had enough of Jean’s personal information to open a new bank account, locate her wealth management firm and successfully link the two. That level of access suggests the potential threat to her other accounts may not be over.
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With a writing and editing career spanning over 15 years, Emma creates and refines content across a broad spectrum of industries, including personal finance, lifestyle, travel, health & wellness, real estate, beauty & fitness and B2B/SaaS/tech.
