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In an increasingly complex world, the Financial Post should be the first place you look for answers. Our FP Answers initiative puts readers in the driver’s seat: you submit questions and our reporters find answers not just for you, but for all our readers. Today, we answer a question from Gloria about how to protect a neighbour from potential financial exploitation.

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Q. A 65-year-old neighbour of mine had a stroke two months ago. She is single, and has an elderly father, sister, and 29-year-old nephew, all in Portugal. We have been great friends over the years and she has an estate worth $10 million that she inherited from her husband but has no kids. Even though she is unable to walk anymore she can still think for herself. But she refuses to write a will, insisting that if she dies her blood relatives will inherit everything so it will be fine.

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I am concerned because there is a couple who is bending over backwards to take care of this woman and appear to be behaving as if they were family. She has not given this couple power of attorney (POA) and does not want them to inherit her estate should she die but enjoys having them around. What advice can I give her to help ensure that she is not taken advantage of and that her blood relatives in Portugal receive her estate if she dies? —Thank you, Gloria B.

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FP Answers: Gloria, this is a difficult time for your neighbour. You do not mention how well you know your neighbour or her family. Have you shared meals or socialized together? You should respect her privacy.

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You do not mention if your neighbour has her own lawyer. Your neighbour should always have her own lawyer review documents before she signs them. Be careful that your questioning of private matters does not trigger an adverse reaction.

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You should record details in your notes of examples of your neighbour’s lack of capacity with dates and times. This may be crucial to trigger assistance. Can your neighbour pay her bills? Is it safe for her to be in her home? Is she taking her medication? Can she handle normal daily activities?

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People often wrongly believe their relatives will automatically inherit their estates without wills. This may be what happened with her husband’s estate. She could have inherited everything as a joint owner of a designated beneficiary of her husband’s assets without any will.

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Things are completely different when she dies. Nobody is in charge of her affairs if she does not make a will or powers of attorney. If she does not have a local family to serve as estate executor, a bond may be required to make sure creditors and beneficiaries are not shortchanged.