Whilst many of us understand the importance of having a Will put in place, not as many understand that setting up a Power of Attorney is equally as important. There is a common misconception that Powers of Attorney are only for the elderly. However, life is unpredictable and unexpected events such as illnesses, accidents or incapacitation can occur at any stage of life. For this reason, we recommend that everyone has a Power of Attorney in place, regardless of your age or circumstances.
What is a Power of Attorney?
A Power of Attorney is a legal document which gives someone else the legal authority to act and make decisions on your behalf. If a person loses capacity at any stage of their life and cannot manage their own affairs, then there is nobody with the automatic authority to help, not even their spouse, partner or children.
A Power of Attorney allows your chosen attorney/attorneys to look after your finances (for example, to pay bills and access your bank account) and to make decisions about your care and welfare (for example medical treatment, care and accommodation).
A Power of Attorney can only be put in place whilst you have capacity, which broadly means that you have the ability to make decisions for yourself, act on them and remember them.
Five reasons you should put a Power of Attorney in place
ONE – It comes into place as soon as required
As soon as the Power of Attorney has been signed, finalised and registered with the Office of the Public Guardian, it can be used by your attorneys. With your consent, your attorneys can assist with your finances whilst you still have capacity. This can be helpful, for example, if you require assistance with your affairs whilst you are abroad. Alternatively, if you prefer, the powers can be delayed so they only come into effect in the future if you lack capacity.
Your attorneys can only make decisions about your welfare if you do not have capacity.
Without power of attorney, your loved ones may need to apply to the court for guardianship powers, which can be a lengthy process at a time when quick action may be needed.
TWO – It puts you in control
Granting a Power of Attorney allows you to appoint an attorney that you can trust. This will reassure you that have a trusted individual empowered to act on your behalf in times of need, which can alleviate anxiety and uncertainty. A Power of Attorney also allows you to tailor the powers to your specific preferences, giving you added protection. For example, you may wish to exclude decisions on certain elements of your financial affairs or welfare.
THREE – It is cost effective and simple to put in place
If you lose capacity and do not have a Power of Attorney in place, someone will be required to apply to the Sheriff Court for a Guardianship Order. Obtaining a Guardianship order is a significantly more lengthy, costly and stressful process for your loved ones. Ensuring that you have a Power of Attorney in place can avoid this process.
FOUR – Prepares you for an uncertain future
A Power of Attorney prepares you for an uncertain future. Thinking about the future can be stressful and we tend to not like to think about what may happen to us. However, accidents and illnesses can happen at any stage of life and by putting a Power of Attorney in place, you can be reassured that you have prepared for all eventualities in the future.
FIVE – Gives you and your family peace of mind
By taking proactive steps to put a Power of Attorney in place, offers both you and your family the peace of mind that if something happens to you in the future, you know that your interests and affairs will be looked after by someone you trust.
If you would like more information on putting a Power of Attorney in place, please contact our personal law department.
DISCLAIMER
The content of this page is for information only. It is not intended to be construed as legal advice and should not be treated as a substitute for specific advice. Gibson Kerr Ltd accepts no responsibility for the content of any third party website to which this webpage refers. Gibson Kerr Ltd is regulated by the Law Society of Scotland.