A power of attorney is a legal document that allows someone to make decisions for you, or act on your behalf, if, for example, you’re no longer able to.
There are a number of reasons why you might need someone to make decisions for you in the future or act on your behalf. It could be a temporary measure if you are in hospital and need help with keeping your finances in order, such as paying bills.
Alternatively, you may need to make longer-term plans if you have been diagnosed with dementia or other conditions where you may lose the mental capacity to make your own decisions.
Different types of power of attorney
There are different types of power of attorney:
- Ordinary Power of Attorney
- Enduring Power of Attorney
Ordinary Power of Attorney
An Ordinary Power of Attorney allows one or more person to make financial decisions on your behalf. It is only valid while you have mental capacity to make your own decisions.
Reasons to set one up:
- you need someone to act for you for a temporary period, such as when you’re on holiday or in hospital
- you’re finding it difficult to get to the bank or post office, or you want someone to be able to access your account for you
You can limit the power you give your attorney so that they can only deal with certain assets.
Enduring Power of Attorney
An enduring power of attorney is a legal document in which you appoint someone else to look after your affairs in the event you lose mental capacity.
An ordinary power of attorney loses its validity when you lose the mental capacity to manage your own affairs. However, if an enduring power of attorney has been drawn up then it should be registered at the Isle of Man Courts of Justice in order that the attorney may continue to act on your behalf.
We can assist with the preparation of an ordinary power of attorney or a enduring power of attorney and also assist with the registration of at enduring power of attorney.