Age Concern Tauranga had also applied and was unsuccessful but its contract had been extended until September so it could transition its clients.
Alice Nuku from Whaioranga Trust Kaupapa Maori Health and Social Services said it had more than 100 years of expertise associated with the care of the elderly in home-based support services alongside its partners.
Funding for the elder abuse response service would be used to assist those that needed support - alongside its kuia and koroua, mental health, counselling and whanau support networks.
Ms Nuku said in many cases of elder abuse, both the victim and the perpetrator were unaware anything was wrong.
''There was little understanding about abuse other than the physical aspects eg hitting. In order to maintain relationships between family members we encountered, it was important to improve the understanding of abuse in all its forms.''
Age Concern Tauranga general manager Tanya Smith said the organisation was disappointed not to be the service provider for the elder abuse response Service contract.
''However, our commitment remains strong to deliver services and support to older people in our community.''
Te Tuinga Whanau Trust social services manager Piki Russell said the trust received no funding and was having to stretch its services beyond capacity as it would not turn elderly away.
''We have always been a big believer that we need to start particularly, in the elder area because of the amount of elderly people that want to come here.
''One example was a grandmother who took her family into her home and they kicked her out. She didn't know what her rights were within that while others are the children themselves taking advantage and taking their money.''
Director Tommy Wilson said the real problem was the resources ''aren't getting to the front line to the people that are doing the mahi (work)''.
''Until that is sorted we are just shifting around deck chairs on the Titanic.''
Tauranga Budget Advisory Service manager Diane Bruin said the service had dealt with cases of elder abuse and had stepped in before one client was going to use savings to help a family member buy a house.
''The elder had accumulated good savings and then a family member requested financial assistance to purchase a property with the parent providing the deposit and guarantee.
''The elder was confused and didn't know the full implications of what a guarantee meant.
''We sought legal advice for the client before signing any agreements.''
Other situations included financial abuse of elderly to fund drugs or gambling and one that involved credit card fraud, Mrs Bruin said.
''The card was been used by a family member and they knew the pin number to create a large debt for luxury purchases.''
But even though the number of elderly seeking budget advice had jumped five per cent in the year to date they were often reluctant to come forward for help, she said.
"They feel embarrassed that they have been caught in this situation.''
Minister for Seniors Maggie Barry said the sad reality was 79 per cent of older New Zealanders who were abused were harmed by family members and 43 per cent of victims lived with their abusers.
Research pointed to one in 10 older people being a victim of abuse.
The serious and growing problem of elder abuse required a different approach and was the initiative behind the new elder abuse intervention service, she said.
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* Call 0800 32 668 65 and ask for help
* Call Whaioranga Trust 07 544 9981 and ask for help