16 July 2019
What is a Power of Attorney?
A Power of Attorney (POA) is a legal document you use to appoint people you trust to act for you.
The most common kind of POA is a Lasting Power of Attorney (LPA). There are two types: one for your property and finances and the other for your health and welfare.
Previously we made Enduring Powers of Attorney (EPA). You can no longer make EPA. You can still register them. Bear in mind that an EPA only deals with your property and financial affairs.
There are also short-term POAs called General Powers of Attorney (GPOA). They appoint an Attorney to carry out a specific task for you, or help you temporarily.
When is it used?
LPAs and EPAs are used once registered with the Office of the Public Guardian (OPG).
It typically takes ten weeks to register a POA. For this reason, it is sensible to register an LPA before you actually need to use it.
GPOAs are not registered. However this means there is often confusion about whether it remains valid. For this reason, GPOAs are usually renewed every year.
How do you use a POA?
Once registered (except GPOAs) then you need to record it with relevant organisations. For example, elderly people may record their LPA with their bank so that their Attorney to deal with banking on their behalf.
Who needs a POA?
They are sensible for everyone. They can be used if:
Banks and hospitals may not be able to deal with friends and family members due to data protection and confidentiality policies.
When should I make a POA?
You can make an LPA at any time as long as you have “sufficient mental capacity”. You must be able to choose whom you would like to act on your behalf. You must understand the authority that you are giving them.
If you have a condition such as dementia or Alzheimer’s or if you have a stroke; you may not be able to appoint an Attorney.
You should consider making an LPA whilst in good health to avoid future problems.
What is a Deputyship?
The Courts can appoint a Deputy to assist you. This is like having an Attorney. However Deputies have to file annual financial reports with the OPG and take out insurance bonds. It is time consuming and expensive to set up Deputyships.
If you would like to make a POA please call one of our experienced lawyers based at our Bournemouth and Christchurch offices.
Please note, this is not legal advice. It is intended to provide information of general interest about current legal issues.
