A Short Form of the Lichtenberg Financial Decision Rating Scale

Abstract

Objectives: This paper examines the convergent validity and clinical utility of the 34-item short form of the Lichtenberg Financial Decision Rating Scale (LFDRS-SF). A briefer scale can lead to enhanced and efficient use of a person-centered approach to the assessment of financial decisionmaking. Methods: Using data on 200 community-dwelling older adults from Lichtenberg et al. (2017a), convergent validity was examined with cognitive and financial management measures using a correlational and regression approach. Receiver operating curve analyses for predicting decisionmaking ability classification and suspected financial exploitation classification were used to evaluate clinical utility. Results: The LFDRS-SF total risk score was significantly correlated with both cognitive and financial management measures, and the regression analysis predicted 9% of the LFDRS-SF measure. These results demonstrate not only convergent validity, but also the conceptual and empirical uniqueness of financial decision-making. Conclusions: The LFDRS-SF is a valid tool to assess real-world financial decision-making abilities. The dearth of real-world financial decision-making assessment tools has been well documented (Lai & Karlawish, 2008; Marson, 2016). Lichtenberg et al. (2015) described the creation of a new person-centered measure, the Lichtenberg Financial Decision Rating Scale (LFDRS), to assess the financial decision-making abilities of an older adult. The LFDRS analyzes decision-making for specific financial decisions and transactions. Lichtenberg et al. (2017a) followed up on their first study with a construct validation study, in which both the conceptual model and LFDRS scale items were examined psychometrically on a community-based sample of 200 participants. Confirmatory factor analysis provided

Elder Financial Abuse and Electronic Financial Instruments: Present and Future Considerations for Financial Capacity Assessments

“…[14][15][16]54,61,64,94,95 There are newer models being developed that take a person-centered approach by integrating contextual factors such as psychological vulnerability, undue influence and financial situational awareness including, though they too do not encompass mechanisms unique to modern EFI. 20,22,23 There is consensus that using screening tools and cognitive assessments can aid in assessing decision-making capacities. 96,97 Screening tools are quick and easy to administer, they can be administered by front-line clinicians such as primary care providers, and can serve as a mechanism through which to educate the public.…”

Advancing Assessment in Clinical Gerontology

“…We next have two articles expand the clinician's assessment toolbox when confronted with financial exploitation, both from Peter Lichtenberg's research group. The first article describes the development and validation of a shorter 34-item scale to assist clinicians in determining risk for financial exploitation (Lichtenberg, Gross, & Campbell, 2018). The second article describes the development of a risk-scoring system for financial exploitation (Lichtenberg, Gross, & Ficker, 2018).…”

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