Many people assume that if they become seriously ill or lose the ability to make decisions, their husband, wife or adult children will automatically be able to step in and manage things on their behalf.
It’s a very common assumption.
Unfortunately, it isn’t correct.
Without the appropriate legal authority in place, even those closest to you may not be able to make important decisions about your finances, property or, in some cases, your health and welfare.
Isn’t my spouse automatically allowed to deal with everything?
No.
Whether you’re married, in a civil partnership or have adult children, there is no automatic legal right for someone else to manage your affairs simply because they are your next of kin.
Banks, building societies, pension providers and other organisations have a legal duty to protect your information and your assets. Without the correct authority, they may be unable to discuss your accounts or allow someone else to make decisions for you.
This can come as a surprise at an already stressful time.
What happens if I lose mental capacity?
If you lose the mental capacity to make your own decisions and you have not already put a Lasting Power of Attorney (LPA) in place, your family cannot simply create one on your behalf.
Instead, they may need to apply to the Court of Protection to become your Deputy.
This process can take several months and is generally more expensive and more restrictive than having an LPA already in place.
During that time, managing finances, paying bills or dealing with other important matters can become much more difficult.
What is a Lasting Power of Attorney?
A Lasting Power of Attorney is a legal document that allows you to choose someone you trust to make decisions on your behalf if you are ever unable to do so yourself.
There are two different types:
Property and Financial Affairs LPA
This allows your chosen Attorney to help with matters such as:
- Managing bank and savings accounts
- Paying household bills
- Dealing with pensions and investments
- Selling or managing property if required
- Handling other financial matters
Health and Welfare LPA
This covers decisions relating to your personal wellbeing, including:
- Medical treatment
- Care arrangements
- Daily routine and personal welfare
- Decisions about where you live
- Life-sustaining treatment (if you choose to give this authority)
When should I make an LPA?
The best time is before you ever need one.
An LPA can only be created while you have the mental capacity to understand and sign the document.
Many people think LPAs are only relevant later in life, but illness or accidents can happen unexpectedly at any age.
Having arrangements in place provides reassurance that, should the unexpected happen, the people you trust will have the legal authority to help.
Choosing the right Attorney
One of the most important decisions is choosing who will act on your behalf.
Many people appoint:
- Their husband, wife or partner
- An adult son or daughter
- A close family member
- A trusted friend
You can appoint more than one Attorney and decide how they should make decisions together. You can also appoint replacement Attorneys in case your original choice is unable to act in the future.
The right arrangement depends on your individual circumstances, and it’s important to take time to consider who you trust to act in your best interests.
Planning ahead brings peace of mind
Most people hope an LPA will never be needed.
However, having one in place means that if circumstances do change unexpectedly, your loved ones can support you without unnecessary delays or legal complications.
Planning ahead isn’t about expecting the worst. It’s about ensuring the people you trust are able to help if the need ever arises.
We’re here to help
If you’re considering putting a Lasting Power of Attorney in place or would simply like to understand how it works, we’d be happy to talk you through the options.
Our team can explain the process in plain English, answer any questions you may have and help you choose the arrangements that are right for you and your family.
To arrange a conversation with our team, please contact Anvoner Law on 020 8449 0003 or visit www.anvoner.co.uk.
