Powers of Attorney FAQ

This article aims to answer some commonly-asked questions about Lasting Powers of Attorney (LPAs).

Powers of Attorney come in two forms – Health and Welfare, and Property and Finance. They can be made at any age, but only while you have the mental capacity to do so. If you have lost capacity with no LPA in place, an application for Court of Protection would be required, which is a costly and often drawn-out process.

The best person (or people) to appoint as your attorney would be someone you trust and who has your best interests at heart. Having more than one attorney appointed is a good way to help safeguard your interests if something should happen to one of your appointees.

You can also decide whether your attorneys make joint decisions or are able to do it severally (together or individually).

Why should I make a Lasting Power of Attorney?

You choose who deals with your financial affairs or healthcare matters

You decide who you appoint as your attorneys, but you must be sure that you are satisfied they are trustworthy and capable of dealing with whatever financial or health matters that they may have to face on your behalf.

You give instructions on what you would like your attorneys to do on your behalf and provide information of where your assets are held

You are able to include preferences and instructions with either of the two different LPAs, which can also offer guidance to your appointed attorneys. Instructions must be adhered to by them, as your wishes are binding.

Your financial affairs are able to be attended to in good time should you become incapacitated

Your attorneys have authority, granted by you, to act on your behalf. This includes anything as simple and day-to-day as dealing with your household bills.

It is sensible business practice – having an attorney responsible for your affairs, your staff can continue to receive their pay and your business can continue operating

In the case of business owners, the attorneys you appoint have the authority to manage your business accounts and make business decisions in both the best interests of yourself and of your business.

It is more cost and time effective than the alternative option

If your mental capacity has reached an insufficient state to make a decision for yourself and you haven’t got a Lasting Power of Attorney, the remaining option is to apply to the Court of Protection to appoint a deputy to oversee your affairs.

The Court is the one to decide who ultimately is appointed as your deputy. This may not be the choice you would have made. The application process takes a lot longer than that of a Power of Attorney application, and is also a lot more expensive.