A lasting power of attorney should be part of your financial planning in the later years of your life. A will enables you to set out your plans after death, but a lasting power of attorney (LPA) will ensure that your wishes are carried out during your lifetime.
What is a lasting power of attorney?
An LPA is a legally binding document that enables you to appoint someone to make decisions for you. This may be now or in the future.
Many people wrongly think that when they lose mental capacity, their partner, spouse or family member would gain control of their finances and wellbeing. However, this is not the case.
There are two types of LPA-
Property and Finance.
This gives your attorney power over your property, bank account and investments. They can also act for you if you are claiming state benefits.
Health and Welfare
This LPA looks after medical treatments, diet and personal care.
What are the responsibilities and restrictions of an attorney?
Your appointed attorney must always act and make decisions that are in your best interest. There are few restrictions on whom you can appoint other that they must be 18 years or older. They must act on the instruction given to them under your LPA. Under normal circumstances, they should not delegate their duties and must maintain your confidentiality at all times. So it’s important to appoint someone you trust.
How much does a lasting power of attorney cost?
It costs £82 to register each LPA. If the donor (the person making the LPA) claims certain means-tested benefits then they may be exempt of these fees. Also, you may get a 50% reduction if the donor is receiving Universal Credit. Follow this link to find out more.
Can I apply for an LPA myself?
Yes. Although for managing complex financial agreements like pensions and investments, I would always recommend taking independent financial advice and getting a solicitor involved to avoid making any costly mistakes.
What if I do not make an LPA?
In England and Wales, the Court of Protection will look to appoint a deputy if there is no lasting power attorney in place. A member of your family can apply to the court to be this deputy but this can take time. The court will lay out the actions the deputy needs to undertake.
How Anstee & Co can help you with an LPA.
Why not take independent financial advice from one of our financial advisers. We are a firm of Independent Financial Advisers (IFA’s). This means that we offer unbiased financial advice. We will look at the options available to you. The initial “getting to know you” meeting is at our expense and is without obligation. Why not arrange a meeting today.
Our offices are located at: –
- Kettering, Northamptonshire.
- Stamford, Lincolnshire.
- Towcester, Northamptonshire
- London, Pall Mall, Central London
Additionally, our team of financial adviser live and make use of meeting rooms in
- Bedford, Bedfordshire.
- Northampton, Towcester and Wellingborough in Northamptonshire
Due to the present government guidelines regarding social distancing, we are now making use of video conferencing facilities such as: –
- Microsoft Teams
We can also arrange a conference telephone call. There is no need to visit an office as all work can be handled remotely.
So, if you have any thoughts or comments about this article, “Lasting power of attorney. Do you need one?”, then we would love to hear your thoughts.
Finally, the information contained in this article is for information purposes only and does not constitute financial advice. No action should be taken based on this information alone. Anstee & co. is authorised and regulated by the Financial Conduct Authority (FCA).