Lasting Powers of Attorney are very important legal documents. Unfortunately, mental incapacity can affect anyone at any time, whether through illness or an accident. If this happens, you may no longer be able to decide who should manage your financial affairs or make decisions about your health and wellbeing.
You can only put these arrangements in place while you still have mental capacity, so it is important to plan ahead.
There are two types of Lasting Power of Attorney:
This type of Lasting Power of Attorney allows you to appoint one or more people (known as your Attorneys) to make financial decisions on your behalf. This can include managing your bank or building society accounts, claiming benefits, buying or selling property, making investments, and paying household, care, and other expenses.
You can choose whether this Lasting Power of Attorney can be used while you still have mental capacity (for example, if you are physically unwell or unable to manage your affairs), or whether it only comes into effect if you lose capacity.
This type of Lasting Power of Attorney allows you to appoint one or more people (known as your Attorneys) to make financial decisions on your behalf. This can include managing your bank or building society accounts, claiming benefits, buying or selling property, making investments, and paying household, care, and other expenses.
You can choose whether this Lasting Power of Attorney can be used while you still have mental capacity (for example, if you are physically unwell or unable to manage your affairs), or whether it only comes into effect if you lose capacity.
This type of Lasting Power of Attorney allows your Attorney(s) to make decisions about your health and welfare, including the care and medical treatment you receive. This can include decisions about life-sustaining treatment, where you live and the support you receive, as well as day-to-day matters such as your diet and daily routine.
This Lasting Power of Attorney can only be used if you lose the mental capacity to make and communicate your own decisions.
You can restrict the types of decisions your Attorney(s) can make, if you wish. You can choose who to appoint as your Attorney(s), however they must be over the age of 18, have mental capacity and must not be bankrupt.
It is important to choose someone you trust to make decisions about your personal affairs.
Many people assume that a Lasting Power of Attorney is only necessary later in life. However, this is a common misconception. Unexpected illness or accidents can happen at any time, potentially leaving you unable to manage your own affairs.
A Lasting Power of Attorney allows someone you trust to step in and act on your behalf, whether because you have lost mental capacity, or simply because you are physically unable to manage certain matters, such as attending appointments or dealing with your finances.
If you do not have a Lasting Power of Attorney in place and become unable to make decisions for yourself, your loved ones may need to apply to the Court of Protection for a Deputyship Order. This process can be lengthy, costly, and stressful at an already difficult time. In addition, Deputies are subject to ongoing supervision by the Court, including the requirement to file annual accounts and pay yearly fees.
By putting a Lasting Power of Attorney in place, you can avoid this process entirely. It enables you to plan ahead and choose who you would like to make decisions on your behalf, whether that is a family member, close friend, or other trusted individual.
You may also choose to allow your Attorney to assist you straight away, for example if you would benefit from help managing certain aspects of your affairs now.
Costs
The Office of the Public Guardian charges a registration fee of £92.00 per Lasting Power of Attorney. Therefore, the total registration fee is £184.00 if both types of Lasting Power of Attorney are put in place. In respect of the Office of the Public Guardian fees, exemptions or reductions may be available in certain circumstances, for example if you are on a low income.
Our fees for preparing the Lasting Power(s) of Attorney and submitting them to the Office of the Public Guardian are as follows:
If spouses or couples each require both types of Lasting Power of Attorney (four in total), we offer a £100.00 discount on the overall fee.
Home visits are available at a cost of £150.00 plus VAT (£180.00). This fee includes an initial visit to take instructions and a second visit for the signing of the Will.
*Please note that all prices are based on one initial meeting and one meeting to sign any documentation. Any additional meetings to discuss instructions are charged at £50.00 plus VAT, equating to £60.00 per meeting.*
The Court of Protection is responsible for making decisions and protecting the interests of individuals who no longer have the mental capacity to make decisions for themselves.
The Court can appoint one or more people (known as Deputies) to manage a person’s financial affairs. It is much less common for the Court to appoint Deputies to make decisions about health and welfare.
If you need to assist a loved one with matters such as managing their bank accounts, selling property, or arranging care, and you have not been appointed as an Attorney under a Lasting Power of Attorney, you will need to apply to the Court of Protection for a Deputyship Order.
To be appointed as a Deputy, you must be over the age of 18, not be bankrupt (for financial matters), and be able to satisfy the Court that you are a suitable person to act. The Court will also require a medical report confirming that the individual has lost the capacity to make decisions for themselves. Applications are usually made in writing, and it is uncommon for Deputies to be required to attend a Court hearing unless the application is disputed.
If appointed, Deputies are responsible for managing the individual’s affairs in their best interests. They must keep the person’s finances separate from their own and maintain clear records. Deputies are also required to submit annual accounts to the Court and pay an annual supervision fee.
Once the Court is satisfied that the proposed Deputy is suitable, it will issue an Order setting out the authority granted, enabling the Deputy to manage the individual’s financial affairs and, in limited cases, their health and welfare.
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