Empowering Independence: Managing Money Safely in the Early Stages of Dementia

When you or a loved one starts to notice the early signs of dementia, it can feel like everything is changing at once. But with the right support and tools in place, it’s entirely possible to stay financially independent for longer and to feel confident doing so.

At Sibstar, we understand how important it is to remain in control of your everyday spending. Here are some practical tips and trusted resources to help you manage money safely and with dignity during the early stages of dementia

1. Start the conversation early

It’s never too soon to talk about money. If you’re beginning to experience memory changes, difficulties managing your everyday money and bills, or have received an early diagnosis, now is the perfect time to make a plan.

Having an open and honest conversation with a trusted family member or friend can help reduce stress down the line. A good starting point is to consider:

• Your current financial setup: Are you happy with your current situation and how might it work for you longer term?

• Any bills or direct debits you manage: Ensuring your vital payments are made and that you’re only paying for what you need or want.

• Your wishes for how you’d like your money to be managed in future: Consider the support you may need further down the line and what documents and processes you can put in place now.

If you’re not sure how to start, charities such as the Alzheimer’s Society, have excellent guidance on planning ahead for financial decisions.

2. Use a simple, secure way to manage everyday spending

One of the biggest challenges can be keeping your everyday money safe without giving up your financial independence.

A tool like the Sibstar debit card and app can help you stay independent while giving you and your loved ones peace of mind. For example, with Sibstar you can:

• Share access with a trusted person (so they can help you manage things, without taking over)

• Set daily spending limits to ensure you only spend an amount you’re comfortable with

• Separate your everyday spending money from your main account and savings to minimise any potential loss

• Decide how and where your card can be used to help manage your spending

• Pause the card if it’s lost or stolen

It’s a flexible, empowering way to stay in control with extra protection if you need it.

3. Organise your paperwork

Start gathering important financial documents in one safe place. This can help to establish what payments you’re expecting, when they are due and what companies they should be coming from. This might include:

• Bank and building society details

• Pension information

• Utility bills

• Insurance policies

• Mortgage or rent details

Consider keeping a physical folder and a digital backup (with a family member or carer’s support if needed). This can help prevent any missed payments or lapsed policies, avoid confusion and give you more confidence day-to-day.

4. Set up a lasting power of attorney (LPA)

Creating a Lasting Power of Attorney (LPA) for financial decisions means you can choose someone you trust to act on your behalf, if and when you’re no longer able to.

You’ll stay in full control while you still have capacity, but the legal paperwork will already be in place for the future. Learn more about setting up an LPA in England and Wales on the Gov.uk website.

5. Stay alert to scams and fraud

Unfortunately anyone can fall victim to fraud and other scams, which are designed to catch people off guard and can occur online, over the phone and in-person. Sadly, people living with dementia are often targeted by scammers. The National Crime Agency (NCA) and Friends Against Scams offer excellent advice to help protect yourself.

Key tips:

• Never share your PIN or passwords. Your bank and other reputable companies would not request this information.

• Don’t click on links in emails or texts. Instead, contact companies via the details they provide on their official website.

• Be cautious of phone calls asking for personal information, bank details or to make a payment. 

• Scammers will pose as friends and family asking for help due to some kind of emergency. Always check using a phone number or other contact details you already have for an individual.

Scammers will often put pressure on you to act quickly to avoid a penalty or to grab a deal. Don’t trust anyone who is trying to rush you into a decision. The Government’s Stop! Think Fraud campaign provides more details about the tactics used by the scammers, how you can spot them and what you can do to protect yourself.

6. Take care of your emotional wellbeing

Managing finances with dementia isn’t just about numbers. It’s about confidence, independence, and peace of mind. You don’t have to do it all alone.

Organisations like the Alzheimer’s Society offer advice, support groups, and a helpline to talk things through. You might also find it helpful to speak to a financial adviser or dementia specialist to explore your options.

A final word

Dementia brings challenges but with the right information, tools, and support, it’s absolutely possible to stay independent and manage your money safely.

Sibstar exists to support people just like you. Whether you’re exploring options for yourself or helping someone you love, we’re here to make life a little simpler, a little safer, and a lot more empowered.