Why some People Worry About Power of Attorney

It’s ok to worry about getting a Power of Attorney; it is an important and serious consideration. The good news is that there are different Power of Attorney options and an expert guide available to you.

So, What is a Power of Attorney?

A power of Attorney is a legal document that dictates, ‘When I’m unable to take care of myself or my affairs, I permit this person to manage these for me.’

Attorney being an old French word for assign. You’re literally assigning someone (you can choose more than one person) to look after you, your finances, or your estate.

You’ll come across two main types  of Powers of Attorney

• Ordinary Power of Attorney (OPA) – a temporary order that lasts as long as you say. It’s usually used by those going into hospital for a short time, those staying abroad who need someone to manage their property and finances here in the UK and more often as an urgent/ interim measure whilst waiting for the LPAs to be registered.

• Lasting Power of Attorney (LPA) – an ongoing Power of Attorney that stays in place until you stop the order or pass away. Lasting Power of Attorney comes in two halves: ‘health and welfare and ‘property and financial’.

Many people think a Power of Attorney is part of a will; however, they are two distinct legal documents. If you are having your will prepared, please talk to us about assigning a Power of Attorney at the same time, or vice versa.

As with drafting a will, you must be over 18 and ‘of sound mind’ when signing a Power of Attorney document. This is why everyone needs a Power of Attorney in place – you can’t assign someone to look after you, your money, or your home after being incapacitated.

Why are some people worried about getting a Power of Attorney?

Even your partner, spouse or children have no legal right to manage your healthcare or finances without one.

It’s curious that people are much more relaxed about getting a will than they are about creating a Power of Attorney.

We all know we’re all going to pass away sometime, so a will makes sense. However, the idea of growing older and becoming mentally and physically incapable of looking after ourselves fills us with dread, so we end up putting off creating a Power of Attorney document.

If you’re looking into a Power of Attorney, you might have a few understandable fears about committing to one.  

• You don’t want to feel powerless.

Your independence is important to you, and you’re worried that a Power of Attorney document will take that away. Before you know it, you’ve been shoved into a care home and your kids and spending all your money (ok, maybe not quite so drastic!).

When granting Power of Attorney to someone, the decisions are yours. It lasts as long (or as little) as you’d like, and this timeline will be detailed in any documents drawn up by your legal provider.

You choose who will act on your behalf. So, it’s best to assign someone you completely trust and rely on, who is financially independent. If you disagree, you can’t be forced, coerced, or encouraged to sign a Power of Attorney document.

Families can apply for a Court of Protection Deputyship, which is similar to a Power of Attorney after the event, giving them the legal authority to manage your affairs. However, they’d need to prove you’re mentally incapable of looking after yourself before this is granted and it is significantly more expensive and restrictive..

You’re worried about losing control.

Giving up control is probably one of the scariest aspects of a Power of Attorney. It’s only natural to be worried about being left to others’ whims, and often just as frustrating – after all, unless the worst happens, you’d like to maintain some degree of power over your affairs.

With different types of Power of Attorney available, covering various areas of life, you can relinquish or retain as much control as necessary.

A ‘Health and Welfare’ Power of Attorney grants someone the power to make medical decisions on your behalf when you can no longer do so. This includes chatting with your doctor, selecting the appropriate healthcare, and deciding where you should receive it.

Your attorney, however, won’t be able to demand a ‘Do Not Resuscitate’ order or stop you from undergoing life-saving treatment unless you include it in the Power of Attorney document.

A ‘Property and Financial’ Power of Attorney only has the right to manage your estate and financial affairs. And you’re legally entitled to receive regular updates on your financial situation. So, your attorney can’t hide all your money when you’re not looking.

You may also grant immediate Power of Attorney over your finances and properties. This allows them to take control, even while still mentally capable. The choice is yours.

That way, you could continue managing your money, for instance, while letting your family worry about ensuring you get the proper treatment at the hospital.

If there’s division in the family – for example, you have different religious beliefs from your children – a Lasting Power of Attorney will ensure your wishes are carried out. Not the wishes of others.

You’ll never, ever need one because you’re invincible

Maybe it’s not so much that you think you’re immortal, but you certainly don’t like to overthink about what waits for us all (and we’re not talking about taxes).

You might’ve pushed it to the back of your mind until now. Now, you’re wondering whether a Power of Attorney is essential. You might’ve even dismissed a Power of Attorney as ‘something for the terminally ancient’.

But the recent pandemic has shown us that we never really know what’s around the corner. That means facing up to the fact that there are a few things we need to get in order, just in case the worst happens.

A Power of Attorney is essential, regardless of age. It guarantees peace of mind for you and less stress for your loved ones.