Economic abuse

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Economic abuse is a form of abuse when one intimate partner has control over the other
partner's access to economic resources,[1] which diminishes the victim's capacity to support
themselves and forces them to depend on the perpetrator financially.[1][2][3]

It is related to, or also known as, financial abuse, which is the illegal or unauthorized use of a
person’s property, money, pension book or other valuables (including changing the person's will
to name the abuser as heir), often fraudulently obtaining power of attorney, followed by
deprivation of money or other property, or by eviction from own home. Financial abuse applies
to both elder abuse and domestic violence.[4]

A key distinction between economic abuse and financial abuse is that economic abuse also
includes the control of someone's present or future earning potential by preventing them from
obtaining a job or education.

Contents
 1 Role in domestic violence
o 1.1 Controlling mechanism
o 1.2 Job-related impacts
o 1.3 Impact of lack of economic resources
o 1.4 Managing economic abuse
 2 Role in elder abuse
 3 Laws
o 3.1 United States
o 3.2 United Kingdom
 4 See also
 5 References
 6 Further reading

Role in domestic violence

Economic abuse in a domestic situation may involve:

 Preventing a cohabitant from resource acquisition, such as restricting their ability to find
employment, maintain or advance their careers, and acquire assets.
  Preventing the victim from obtaining education.
 Spend victim's money without their consent and creating debt, or completely spend
victim's savings to limit available resources.
 Exploiting economic resources of the victim.[1][2][3]

In its extreme (and usual) form, this involves putting the victim on a strict "allowance",
withholding money at will and forcing the victim to beg for the money until the abuser gives the
victim some money. It is common for the victim to receive less and less money as the abuse
continues. This also includes (but is not limited to) preventing the victim from finishing
education or obtaining employment, or intentionally squandering or misusing communal
resources.[5]

Controlling mechanism

Economic abuse is often used as a controlling mechanism as part of a larger pattern of domestic
abuse, which may include verbal, emotional, physical and sexual abuse. Physical abuse may
include threats or attempts to kill the cohabitant. By restricting the victim's access to economic
resources, the offender has limited recourses to exit the abusive or violent relationship.[6]

The following are ways that abusers may use economic abuse with other forms of domestic
violence:

 Using physical force, or threat of violence, to get money.

 Providing money for sexual activity.
 Controlling access to a telephone, vehicle or ability to go shopping; other forms of
isolation.
 Threatening to evict the cohabitants from the house without financial support.
 Exploiting the victim's economic disadvantage.
 Destroying or taking resources from the cohabitants.
 Blaming the victim for an inability to manage money; or instigating other forms of
economic abuse, such as destruction of property.[6]

Victimization occurs across all socio-economic levels, and when victims are asked why they stay
in abusive relationships, "lack of income" is a common response.[7]

Job-related impacts

There are several ways that abusers may impact a victim's economic resources. As mentioned
earlier, the abuser may prevent the victim from working or make it very difficult to maintain a
job. They may likewise impede their ability to obtain an education. Frequent phone calls,
surprise visits and other harassing activities interfere with the cohabitant's work performance. In
case of a cohabitant being homosexual, bisexual, transgender, or questioning of their sexuality
(LGBTQ), the abuser may threaten to "out them" with their employer.[7]

The National Coalition Against Domestic Violence in the United States reports that:
  25–50% of victims of abuse from a partner have lost their job due to domestic violence.
 35–56% of victims of domestic violence are harassed at work by their partners.[7]

Impact of lack of economic resources

By denying the victim access to money, such as forbidding the victim from maintaining a bank
account, he or she is totally financially dependent upon the abuser for shelter, food, clothing and
other necessities. In some cases the abuser may withhold those necessities, also including
medicine and personal hygiene products. They may also greatly limit their ability to leave the
abusive situation by refusing to pay court-ordered spousal or child support.[7]

Abusers may also force their victims to obtain credit and then through negligent activities ruin
their credit rating and ability to get credit.[7]

Managing economic abuse

There are several ways to manage economic abuse: ensure one has safe access to important
personal and financial records, ensure one's research activities are not traceable and, if they
believe that they are going to leave the cohabitation, they should prepare ahead of time.[7]

In the United Kingdom, the charity Surviving Economic Abuse has resources on de-linking from
abusers, debts, banking and housing.

Role in elder abuse

Main article: Elder financial abuse

The elderly are sometimes victims of financial abuse from people within their family:

 Money or property is used without their permission or taken from them.

 Their signature is forged for financial transactions.
 Coerced or influenced into signing over deeds, wills, or power of attorney.
 Deceived into believing that money is exchanged for the promise of lifelong care.[8]

Family members engaged in financial abuse of the elderly may include spouses, children, or
grandchildren. They may engage in the activity because they feel justified, for instance, they are
taking what they might later inherit or have a sense of "entitlement" due to a negative personal
relationship with the older person. Or they may take money or property to prevent other family
members from getting the money or for fear that their inheritance may be lost due to cost of
treating illnesses. Sometimes, family members take money or property from their elders because
of gambling or other financial problems or substance abuse.[8]

It is estimated that there may be 5 million elderly citizens of the United States subject to
financial abuse each year.[7]
Laws
United States

The Survivors’ Empowerment and Economic Security Act was introduced by the 110th United
States Congress to the Senate (S. 1136) and House of Representatives (H.R. 2395) to allow for
greater economic freedom for domestic violence victims by providing short-term emergency
benefits where needed, guaranteeing employment leave and unemployment compensation, and
prohibit insurance restriction or job discrimination to domestic violence victims.[7]

United Kingdom

Economic abuse is currently not officially recognised in UK law. The Domestic Abuse Bill was
introduced into parliament in early 2020 and following a series of delays is still working its way
through the House of Lords for approval. Once this is passed into law, economic abuse will
finally have a legal definition. The Bill also calls for a Domestic Abuse Commissioner role to
monitor the government’s response to domestic abuse.  

Currently, economic abuse can be prosecuted as controlling or coercive behaviour under the
Serious Crime Act 2015.