Cross-Validation of the Lichtenberg Financial Decision Rating Scale

ABSTRACT

Objectives

The Lichtenberg Financial Decision Rating Scale (LFDRS) is a person-centered tool for analyzing the integrity of financial decision-making abilities. Initial studies supported its reliability and validity (Lichtenberg et al., 2020; Lichtenberg et al., 2017; Lichtenberg et al., 2015). This study examines the cross-validation of the LFDRS Scale to assess its concurrent validity with a measure of executive functioning and suspected financial exploitation (FE).

Methods

Ninety-five older adult community participants underwent an assessment session. The total LFDRS was significantly related to executive functioning.

Results

Trail Making Test Part B was the only significant predictor of the LFDRS total score in a regression equation. An independent sample t-test showed that victims of FE scored higher on the LFDRS than those who were not victims.

Conclusions

These findings are consistent with the initial validation study of the LFDRS and the initial study on the intersection of decision-making and FE (Lichtenberg et al., 2017, 2020) and adds evidence supporting the LFDRS concurrent validity.

Clinical Implications:

• The LFDRS is a person-centered tool for assessing financial decision-making and can be used in clinical assessments of financial capacity.

• The LFDRS can be a useful tool for assessing decision-making capacity in those who have been FE.

KEYWORDS:

• Financial decision-making
• financial exploitation
• person-centered assessment

Clinical Implications

• Person-centered assessment of financial decision-making abilities adds an important dimension to available assessment instruments.

• Training for and use of the LFDRS can be accessed at https://olderadultnestegg.com, where it is listed as the Financial Vulnerability Assessment (FVA).

• This study provides further evidence for the concurrent validity and clinical usefulness of the LFDRS.

Disclosure statement

No potential conflict of interest was reported by the author(s).

Data availability statement

The data that support the findings of this study are available from the corresponding author, EF, upon reasonable request.

Additional information

Funding

This work was supported by the National Institutes of Health P30AG015281, Michigan Center for Urban African American Aging Research; National Institutes of Health Michigan Alzheimer’s Center Coregrant #P30AG072931; Department of Justice/Office of Victims of Crime 2020-V3-GX-0060; and the National Institutes of Health R21AG067405.