En esta noticia
A new law in Colorado is giving banks and credit unions greater authority to intervene when they suspect that an older or vulnerable customer is being targeted by financial exploitation. The measure, known as the Adults’ Security and Safeguards from Exploitation in Transactions Act (ASSET Act), took effect on August 12, 2026.
Under the law, financial institutions can delay a withdrawal or disbursement when a qualified employee reasonably and in good faith believes that a vulnerable adult may be the victim of financial exploitation. In certain cases, the restriction can remain in place for up to 90 days while the situation is investigated.
What does the new Colorado banking law allow?
The ASSET Act was designed to give financial institutions more time to investigate suspicious transactions before money potentially disappears into the hands of scammers.
If a qualified employee has reasonable grounds to suspect financial exploitation, the bank or credit union may delay a requested disbursement. The institution must continue reviewing the suspected or attempted exploitation while the restriction is in place.
The law also requires the financial institution to notify appropriate local law enforcement or adult protective services when the circumstances meet the requirements established by the legislation.
Can a bank freeze an account for 90 days?
The 90-day period is one of the most important parts of the new law, but it does not mean that every suspicious bank account will automatically be frozen for three months.
According to the Colorado General Assembly, a financial institution must make a determination within 90 days after beginning the delay. If the institution is waiting for an investigation by local law enforcement or an adult protective services agency, the process can extend to 180 days.
The delayed funds must ultimately be released or the disbursement refused based on the conclusions of the investigation or the expiration of the applicable period. A court order can also remove the delay.
Who is protected by the law?
The measure focuses on vulnerable adults who may be victims of financial exploitation. The goal is to prevent scammers, relatives, caregivers or other individuals from gaining unauthorized access to a person’s money.
The law gives financial institutions a mechanism to intervene when a transaction appears suspicious rather than allowing funds to immediately leave an account while an investigation is still pending.
Colorado has seen significant financial losses among older residents. According to figures cited in reports about the new law, people age 60 and older reported more than $74 million in fraud losses during 2024, with more than 3,100 victims reporting scams.
What does “good faith” mean for banks?
The phrase “good faith” is particularly important because the law provides protections for financial institutions and qualified individuals who act within its provisions.
The Colorado General Assembly says a financial institution and qualified individual are protected from liability for actions — or failures to act — authorized by the law when those actions are taken in good faith and with reasonable care.
This protection is intended to make it easier for bank employees to intervene when they identify warning signs of possible exploitation without automatically exposing the institution to legal liability for temporarily delaying a transaction.
Will every suspicious transaction be blocked?
No. The law does not mean that Colorado banks will automatically freeze every account or payment that appears unusual.
The financial institution must have a reasonable basis to believe that a vulnerable adult is being financially exploited. The law specifically addresses suspected or attempted exploitation and establishes procedures that the institution must follow when delaying a disbursement.
Customers who are authorized to transact on the account generally must receive written notification of the delay and the reason for it within two business days. An exception applies to a person the institution reasonably believes may have participated in the financial exploitation.
Why are banks getting more power to stop scams?
The legislation comes as financial scams increasingly target older Americans. Fraudsters may use impersonation, fake government calls, romance scams, investment schemes or other tactics to persuade victims to transfer money.
A temporary banking restriction can provide additional time for a financial institution, law enforcement or adult protective services to determine whether a transaction is legitimate.
Similar protections are emerging in other states, although the rules and maximum hold periods vary by state. Georgia, for example, enacted legislation in 2026 allowing financial institutions to place temporary holds on certain transactions involving suspected financial exploitation, with an initial period of up to 15 business days and a possible extension.
What should colorado bank customers know?
The new rule does not mean that ordinary customers should expect their checking or savings accounts to be routinely frozen.
Instead, the law gives Colorado banks and credit unions a specific tool to intervene when they reasonably suspect that a vulnerable adult is being financially exploited. The institution must follow notification and investigation requirements, and the restriction is tied to the suspected exploitation rather than being an automatic penalty against customers.
For anyone whose transaction is delayed under the law, the key issue will be understanding why the institution placed the hold, what investigation is taking place and when the financial institution expects to make a final determination.
The new ASSET Act therefore represents a significant change in how Colorado financial institutions can respond to suspected scams. While the measure is intended to protect vulnerable adults and prevent fraudulent transfers, its most notable provision is the ability to delay access to a requested disbursement while the circumstances are investigated — potentially for 90 days, or longer in certain cases involving an ongoing official investigation.