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When someone is appointed as your legal guardian, they’re entrusted with enormous power. That power can include making medical decisions for you, deciding where you live, and—perhaps most significantly—managing your money. Ideally, guardians act in your best interest, protect your assets, and uphold your dignity. But what happens when the very person meant to protect you becomes the one who steals from you?
Unfortunately, financial abuse by a guardian is not just possible—it happens. And when it does, the consequences can be devastating, both emotionally and financially. In Texas, guardians are held to a high legal standard, and the law provides several remedies to help victims reclaim what was taken. But the path isn’t always easy to navigate. This article walks you through what financial abuse by a guardian looks like, the steps to take if you believe your money has been stolen, and how the courts in Texas can help you seek justice.
Understanding Guardianship and Fiduciary Duty in Texas
In Texas, a guardian is legally responsible for acting in the best interest of the person they’ve been appointed to protect—called the “ward.” This relationship carries what’s known as a fiduciary duty. That means the guardian must act with loyalty, care, and full transparency. They must avoid conflicts of interest and keep the ward’s finances separate from their own.
When that fiduciary duty is violated—through theft, embezzlement, misuse of funds, or even just sloppy financial management—the guardian can be held legally accountable. The courts in Texas treat this kind of misconduct seriously, and guardians who exploit their position may face civil penalties, criminal charges, or both.
Signs That Your Guardian May Be Misusing Your Money
Financial abuse doesn’t always involve dramatic or obvious theft. Sometimes, it starts with small, questionable expenses—a purchase here or there that doesn’t seem right. Over time, those small actions can snowball into major exploitation.
You may start to notice that your bills aren’t being paid even though you have money in your account. Or perhaps you’re suddenly unable to access bank statements, and your guardian gets defensive when you ask questions. Maybe personal items have gone missing, or you’re hearing from creditors even though your guardian is supposed to be handling everything. Even when suspicions are high, it can be incredibly difficult to speak up—especially if you depend on your guardian for daily care or mobility. The fear of retaliation or isolation often keeps victims silent. But the sooner action is taken, the more likely it is that stolen assets can be traced and recovered.
Your Rights as a Ward in Texas
Just because you have a guardian doesn’t mean you’ve lost all legal rights. Texas law ensures that wards still retain certain fundamental protections. Among them is the right to be treated with respect, the right to file a complaint against a guardian, and the right to legal counsel if abuse or exploitation is suspected.
If you believe your guardian has taken your money, you have every right to ask the court to intervene. In some cases, someone else—a family member, friend, or advocate—can file on your behalf. The court can remove the guardian, order them to return misappropriated funds, and appoint someone more trustworthy in their place.
Step One: Gather What You Can
The first step is to collect as much information as possible. Even if you don’t have full access to financial records, try to keep notes about anything suspicious. Think of things like unexplained withdrawals, missing items, or changes in your living conditions.
If you do have access to bank records or receipts, hold onto them. These documents can be essential in proving financial misconduct. Even emails, text messages, or voicemails from your guardian can help build a case. If you’re in a facility or dependent on care, discreetly reaching out to a trusted friend, family member, or case manager may be the safest way to collect and protect that information.
Step Two: Report the Misconduct to the Court
Once you have reason to believe that your guardian has stolen money or misused your assets, you—or someone on your behalf—should report the misconduct to the Texas probate court that oversees the guardianship. Each guardianship case is monitored by the court, and guardians are required to file annual reports and accountings of your finances.
When a complaint is filed, the court will usually order an investigation. This may involve appointing a court investigator or guardian ad litem to review financial records, interview involved parties, and determine whether the guardian acted improperly. If the complaint has merit, the court can demand an accounting, freeze assets, suspend the guardian’s powers, or remove them entirely. In serious cases, the court can also refer the matter to law enforcement or adult protective services for further investigation.
Step Three: Request a Forensic Accounting
If the theft or misuse of funds is suspected to be significant or complex, a forensic accounting may be necessary. This is a detailed financial audit conducted by a professional accountant or auditor trained to uncover fraud, embezzlement, and irregular financial activity.
You can request a forensic audit through the court, or your attorney may suggest hiring one independently if the court approves the cost. This step is particularly helpful when records are missing or unclear. Forensic accountants are trained to trace money, find inconsistencies, and provide documentation that can hold up in court.
Step Four: Demand Legal Action and Restitution
If the court determines that your guardian stole money, it can order restitution. That means the guardian must return what they took—sometimes with interest or additional penalties. If the guardian cannot repay the full amount, the court may order that a bond be used to cover the loss. Texas law requires most guardians to post a bond before taking control of someone’s finances. This bond serves as insurance in case of misconduct.
In addition to civil remedies, the court or the victim can refer the case for criminal prosecution. Guardians who steal from their wards may face charges of theft, exploitation of a vulnerable adult, or fraud. Conviction can result in fines, imprisonment, or both.
Step Five: Appointing a New Guardian
Once the abusive guardian is removed, the court must decide who will take over. This could be a family member, a professional guardian, or even a guardianship agency. If you have preferences or someone you trust to step in, now is the time to speak up or have your advocate voice your concerns.
You can also ask the court to consider whether guardianship is still necessary at all. If you’ve regained capacity or believe that a less restrictive option—like a power of attorney or supported decision-making agreement—would work, the court may be willing to reconsider the arrangement.
Emotional Recovery and Rebuilding Trust
While financial recovery is important, emotional healing is just as critical. Being betrayed by someone legally responsible for your well-being cuts deep. Many victims report feelings of shame, helplessness, and anger. Some even question their own judgment or worth, wondering how they allowed someone to take advantage of them.
But the truth is, guardianship can be disempowering by design. It places trust in another person and often removes the ward’s ability to question decisions. That’s why abuse can happen even to the most capable, intelligent individuals. It’s not your fault.
Support groups, therapy, and legal advocacy organizations can help victims regain confidence and rebuild their lives. In Texas, groups like the Texas Guardianship Association, Disability Rights Texas, and Adult Protective Services offer resources for individuals in or recovering from abusive guardianship situations.
Preventing Future Abuse
Once you’ve regained financial stability and resolved the immediate crisis, it’s worth reviewing how you can protect yourself going forward. If you are still under guardianship, the court can set stricter oversight, such as requiring more frequent reports, audits, or limits on spending authority.
If you are no longer under guardianship, setting up a financial power of attorney with someone you deeply trust—and backing that with regular check-ins or third-party monitoring—can help prevent future exploitation. Supported decision-making agreements are also available in Texas and allow adults with disabilities to get help making choices without giving up their rights.
The most powerful protection, though, is awareness. Knowing your rights, understanding the warning signs, and being unafraid to speak up or ask questions can go a long way in stopping financial abuse before it starts.
Your Path to Restitution: Recovering Funds from a Guardian in Texas
If your guardian has stolen from you, know this: you are not powerless. Texas law is on your side. While the process of uncovering theft, proving misconduct, and seeking restitution can be daunting, it’s absolutely possible. And it’s worth it—not just for your own recovery, but to ensure no one else suffers the same fate. Taking back your voice and your financial security begins with one step: telling someone. Whether it’s the court, a trusted friend, or an advocate, reaching out starts the chain of accountability. Your story—and your rights—deserve to be heard.
