Lasting Power Of Attorney
What Is A Lasting Power of Attorney?
While it is a difficult subject to think about, there may come a time in all our lives when we are no longer able to manage our own affairs, either due to mental, physical or circumstantial reasons. A Lasting Power of Attorney (LPA) offers the peace of mind that the decisions you can no longer make will instead be made by someone you trust, and can cover everything from financial affairs to medical treatment.
Lasting Powers of Attorney came into existence in October 2007 under the Mental Capacity Health Act. Replacing the old Enduring Powers of Attorney (EPA), LPAs are not only more comprehensive, but also have far more safeguards in place to protect you.
This necessarily makes LPAs quite complicated, but put simply it is a legal document that allows you, the ‘Donor’, to appoint someone you trust to manage your affairs when you are not in a position to do so. This may be for a number of reasons, such as you are abroad, or more commonly because you become mentally and/or physically incapable. This appointed person – known as the Attorney – has the legal power to control the Donor’s finances without issue, but must by law act in the best interests of the Donor.
Types of LPA
Because an attorney can potentially have such a range of powers, you might want to be more specific about what exactly you wish them to have control over. It is for this reason that there are two different types of LPA:-
1. Property and Affairs Lasting Power of Attorney
This gives an attorney the power to make decisions across the board of financial affairs, including property. Subsequently an attorney is permitted to operate bank accounts, manage income and inheritances, and buy or sell property on behalf of the donor. Unless a restriction has been enforced, this type of LPA can come into effect as soon as it has been registered.
2. Personal Welfare Lasting Power of Attorney
This gives an attorney the power to make all personal welfare decisions on the donor’s behalf, such as where he/she should live, day to day care, and even permitting or refusing medical treatment. Unlike a Property and Affairs LPA, however, a Personal Welfare LPA only comes into force once it has been registered and once the donor has lost the capacity to make their own decisions.
How Do I Make A Lasting Power of Attorney?
Firstly, to make an LPA you must be:-
- Over 18 years old, and
- Be of sound mind.
If you adhere to these requirements, you must fill out an LPA form, which consists of a statement from the donor, a statement from the certificate provider (who ensures there is no fraud or undue pressure upon the donor), and a statement from the attorney. These forms must then be registered with the Office of the Public Guardian (OPG) in order to become valid.
However, it must be remembered that an LPA is both an extremely powerful and complicated document. If you wish to make an LPA it is wise to seek expert legal advice from a solicitor who can not only guide you through the process, but who will also make sure your wishes are fully established and correctly documented.
Make A Free Enquiry About A Lasting Power Of Attorney?
For immediate assistance please call us on 0121 236 7388 or make a Quick Enquiry and we will be in touch with you.
Lasting Powers Of Attorney
Lasting Powers of Attorney are instructions to an Attorney (ies) to deal with financial matters should you become unable to manage your own affairs as a consequence of say an accident, illness or general infirmity. They may also deal with personal and health issues, which can include decisions that involve life support machines.
Who do I appoint as Attorney?
Preferably family members who are next of kin but when there is no-one obvious, your solicitor may be willing to be appointed.
When are these effective?
The Attorney(ies) can act for you on specific and limited instructions from you but should you become incapable of managing your own affairs the LPA is "registered" with the Office of the Public Guardian and the Attorney(ies) then have full authority to act on your behalf and in your best interests.
What happens if I do not make an LPA?
So long as you remain in good health both physically and mentally, you should be capable of looking after your own affairs. However if you become unable to do so an application to the Court of Protection for the appointment of a Deputy – usually a family member, close friend or solicitor – is made. This is a somewhat lengthy and complicated process which can prove to be costly and delays anyone being able to deal with important financial matters which may affect your wellbeing.
How much does it cost?
As you can see, a Lasting Power Of Attorney is an incredbly important and powerful legal document which could pay for itself many times over if you obtain one in good time. However, to obtain one can cost as little as a few hundred pounds.
When should I make a Lasting Power Of Attorney?
Generally at any time, but typically following retirement age and usually at the same time as making or updating a Will.
Make A Free Enquiry About A Lasting Power Of Attorney?
For immediate assistance please call us on 0121 236 7388 or make a Quick Enquiry and we will be in touch with you.
|
© Copyright 2012 Pearson Rowe - Authorised and Regulated by the Solicitors Regulation Authority No. 62920.