Your Power of Attorney is a legal document which appoints one or more persons to look after your financial affairs on your behalf while you are still alive.
There are several different types of Powers of Attorney, and it is important that you get the right one.
By creating the Power, you are entrusting those persons to access your property, assets and bank accounts on your behalf. Laws govern the conduct of Attorneys and impose legal duties on the Attorney to act in your best interest. However, you should think carefully about who you appoint and make sure it is someone that you trust.
Powers of Attorney come in several types. You should check your own Power of Attorney document to ensure that you fully understand its effect.
General Power of Attorney
The General Power of Attorney gives the appointed Attorney the power to look after your financial affairs on your behalf, but only while you still have full mental capacity.
Enduring Power of Attorney
The Enduring Power of Attorney gives the appointed Attorney the power to look after your financial affairs once you lose mental capacity. For example, if you suffer from Alzheimer’s disease and are no longer capable of making financial decisions.
In this situation, the appointed Attorney must obtain a declaration that you have lost mental capacity. Once that is done, he or she is free to take over your financial affairs.
General and Enduring Power of Attorney
The General and Enduring Power of Attorney is the broadest type of financial Power of Attorney. It combines the above two powers.
A General and Enduring Power of Attorney will come into effect straight away. It means that the person appointed has the power to act on your behalf at any time, including if and when you later lose mental capacity.
Call us on 1300 654 590 and we can help you get the right Power of Attorney in place or check that your existing Power of Attorney meets your current needs.
Click here to find out more about how we can help you with your Estate Planning needs.
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