Colorado Bill Protects Vulnerable Adults from Financial Exploitation

Detected March 4th, 2026

Summary

Colorado Bill HB26-1110, the ASSET Act, requires financial institutions to report suspected financial exploitation of vulnerable adults to law enforcement and may authorize delays in disbursements. The bill aims to protect eligible adults from financial exploitation by financial institutions.

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What changed

Colorado Bill HB26-1110, titled the "Adults' Security and Safeguards from Exploitation in Transactions Act" (ASSET Act), introduces new requirements for financial institutions to protect vulnerable adults from financial exploitation. The bill mandates that financial institutions notify local law enforcement or adult protective services upon reasonable suspicion of exploitation and authorizes them to delay disbursements from an account if exploitation is suspected. These delays can last up to 180 days, pending investigation conclusions.

Financial institutions and their qualified individuals are granted immunity from liability for good-faith actions taken under this bill. They must also provide relevant records to state adult protective services agencies and law enforcement. Compliance officers at financial institutions should review the bill's provisions for reporting, disbursement delays, and record access requirements to ensure adherence to the new protections for vulnerable adults once the bill is enacted.

What to do next

Review Colorado Bill HB26-1110 for new reporting and disbursement delay requirements for vulnerable adults.
Update internal policies and procedures regarding suspected financial exploitation of vulnerable adults.
Train relevant staff on the provisions of the ASSET Act.

Source document (simplified)

HB26-1110

Vulnerable Adult Financial Exploitation Banking

| Type | Bill |
| --- | --- |
| Session | 2026 Regular Session |
| Subjects | Financial Services & Commerce |
Concerning the protection of vulnerable adults from financial exploitation in relation to financial institutions.

Recent Bill (PDF) Recent Fiscal Note (PDF) Bill Summary:

The bill creates the "Adults' Security and Safeguards from Exploitation in Transactions Act" or the "ASSET Act". The bill requires or authorizes a qualified individual at a bank or credit union (financial institution) to do the following when the individual reasonably suspects that a vulnerable adult (eligible adult) is the victim of financial exploitation:

The individual or institution must notify appropriate local law enforcement or the county agency handling adult protective services; and
The individual or institution may notify a third party previously designated by or reasonably associated with the eligible adult.
A financial institution or qualified individual may delay a disbursement from an account if the financial institution or qualified individual:
Reasonably believes that the requested disbursement may result in financial exploitation of an eligible adult;
Provides written notification of the delay and the reason for the delay to all parties authorized to transact business on the account within 2 business days after the requested disbursement; except that a party who is reasonably believed to have engaged in financial exploitation of the eligible adult need not be so notified; and
Continues its internal review of the suspected or attempted financial exploitation.
The delay may continue until:
The financial institution or qualified individual reasonably believes that the eligible adult is not subject to financial exploitation;
Local law enforcement or the county agency handling adult protective services concludes its investigation; or
A court orders that the delay be removed.
A financial institution or qualified individual must make a determination within 90 days after beginning the delay of a disbursement or, if waiting on the investigation of local law enforcement or a county agency handling adult protective services, within 180 days. The disbursement must be made or refused based on the conclusions of the investigation or the expiration of the time.

A financial institution and qualified individual are immune from liability arising from the actions or from failing to take the actions authorized in the bill if the act or failure to act was made in good faith.

A financial institution must provide access to or copies of records that are relevant to the suspected or attempted financial exploitation of an eligible adult to agencies charged with administering state adult protective services laws and to local law enforcement. The records made available to agencies are not public records, as defined in the "Colorado Open Records Act".

(Note: This summary applies to this bill as introduced.)