A surprising challenge as we age 

For many of us, proving who we are is something we rarely think about. We open bank accounts, pay bills and manage our finances without question. But as we age, particularly if health or mobility declines, something that once felt simple can become unexpectedly difficult.

We’ve recently seen this firsthand while supporting an elderly client living in aged care.

She is no longer able to manage her own financial affairs. As part of its ongoing compliance obligations, her bank initiated a routine ‘Know Your Client’ (KYC) review when we wanted to apply for a credit card to manage incidental purchases. On the surface, this is standard practice. In reality, it created a complex and stressful situation.

She does not hold a current driver’s licence or passport. She has mobility issues, making it difficult to attend a branch in person. To complicate matters further, the name on her bank account did not fully align with her marriage certificate from a second marriage.

Until these issues are resolved, there is a real risk that her bank accounts could be restricted or frozen; an outcome that would directly affect her ability to pay for care and day-to-day needs.

What followed was a time-consuming process of correspondence, document reviews, and attempts to find a workable solution. It’s a situation that highlights a growing issue for older Australians: proving you exist can become a genuine challenge.

Why this is happening

Banks and financial institutions are under increasing regulatory pressure to verify customer identity. KYC requirements apply to everyone, regardless of age or circumstance. While the intention is to prevent fraud and protect customers, the systems are often built around assumptions that no longer hold true for many older people.

Common challenges include:

• No current photo ID, such as a passport or driver’s licence
• Reduced mobility, making in-branch verification difficult
• Name inconsistencies due to marriage (particularly second marriages), divorce or historical record-keeping
• Older documents that don’t align neatly with modern identification standards.

When these factors combine, even long-standing bank customers can find themselves unable to satisfy verification requirements quickly.

The very real risks

The consequences of unresolved identity verification go beyond inconvenience. If banks are not satisfied, they may restrict access to accounts, even where there is no suspicion of wrongdoing.

For older individuals, this can mean:

• Delays in paying aged care fees or medical expenses
• Inability to access funds for everyday living
• Increased stress for family members, carers, executors, and attorneys trying to help
• Significant time and cost spent resolving issues that could have been avoided.

These risks are often not considered until a problem arises, by which time, options may be limited.

What’s the solution?

As with much in life, failing to plan is planning to fail!

Keeping your current identity documents – like your driver’s licence and passport – up-to-date is an obvious step. But there may come a time when updating your licence isn’t an option. Another practical solution is obtaining a Proof of Age (Photo ID) card.

A Proof of Age card is a government-issued photo ID available in every Australian state and territory. It’s designed for people who do not have a driver’s licence or passport and can be used to verify both age and identity, from 17 years and 11 months to eternity.

While each state has its own application process, these cards can be particularly valuable for older Australians who:

• No longer drive
• Don’t hold a passport
• Need an alternative form of photo identification for banks and other institutions.

Importantly, this is something best arranged before mobility or capacity declines further.

This issue reinforces the importance of early planning. Alongside estate planning documents such as wills, enduring powers of attorney and medical directives, it’s worth taking the time to ensure that:

• Names are consistent across identification, bank accounts, and legal documents
• Suitable photo ID is in place
• Trusted people know where key documents are stored
• Financial institutions are aware of appointed attorneys or representatives.

These steps can dramatically reduce stress for everyone involved and help ensure continuity when it matters most.

Proving you exist shouldn’t become harder as you age, but for many people, it does.

With banks applying stricter verification standards and life circumstances changing, what feels like a small administrative detail can quickly become a major problem. The good news is that with awareness and early action, many of these issues can be prevented.

If you’re supporting an older family member, or planning for your own future, it may be worth reviewing identification, documentation and authority arrangements now.

Get in touch if you need advice specific to your own situation.