Lasting Powers of Attorney

What is a Lasting Power of Attorney

A Lasting Power of Attorney is a document which allows you as (Donor) to give someone else you trust (Attorney) the legal right to deal with either your property and financial affairs or health and welfare or indeed both, when you can no longer manage them for yourself.

Why make a Lasting Power of Attorney?

Whilst you may have a Will, a Will  only comes into force once you die.  Either as a result of an accident or dementia there may come a time when you can no longer handle your own affairs long before you die.  In such circumstances you may want your child or friend to; pay your bills, deal with your bank, or even arrange your care and sell your home for you.  Unfortunately they will not have the legal power to do so unless you have given them that power by making a Power of Attorney.   

Whilst it is not necessary for anyone to have a Lasting Power of Attorney to take out equity release, we would strongly recommend that all single /widowed people doing drawdown lifetime mortgage equity release should make a Lasting Power of Attorney as if you haven't taken all of the maximum facility, should you have an accident or start to lose mental capacity, you may be unable to request further drawdowns yourself and need someone else to request the remaining money for you to help pay for your future care at home or to make adaptations to your home.

Should you leave making one until you experience problems it may be too late to make one as you need to be deemed mentally capable of making such a power.  In such circumstances all that any child or other possible Attorney can do then is to apply to the Court Of Protection to become a Deputy for you.  This is, however, much more  time consuming , bureaucratic and costly. 

You can make any sane adult child, friend, family or even professional person such as an accountant your Attorney providing they have never been bankrupt.  You can either select one person to be the sole Attorney or appoint a number of people and choose whether they need to act together or can do so independently. 

Such LPA's need to be registered with the Court of Protection before they can be used, so there no need to fear that you will immediately lose control of your own money.  Likewise any attorney has a statutory duty to act in the best interest of the person giving them the power to act for them and not to take advantage of the Donor.  Indeed if this is not done and the Attorney is found not to have acted in your best interest and you have lost capacity, the Attorney could face up to 5 years in prison under the  Mental Health Act.  Until you have lost mental capacity you are also allowed to revoke an existing LPA or replace an existing Attorney at anytime.

How to make a Lasting Power of Attorney?

You can go to your solicitor but they can be quite expensive.  Through our connection with a professional firm of Will writers we are able to offer all our clients the chance to make a Power of Attorney at very modest cost.  If you would like to make one please complete our online enquiry form and type Power of Attorney in the comments book or ask our consultant when you discuss equity release. 

The Equity Release Centre is trained to take instructions for Wills and Lasting Powers of Attorney which are then drafted by specialist Will Writers before being checked by you and witnessed.