The truth behind five power of attorney myths

It can feel tough to understand exactly what a Lasting Power of Attorney is – especially as there are so many myths surrounding the subject. An LPA is a legal document that permits your chosen friend, family member or solicitor to make decisions on your behalf should you lose capacity. You can choose one or several LPAs, and nominate each to take care of your affairs in different ways. For example, you might nominate your brother to manage your financial affairs for you and your cousin to make decisions about your health and welfare. Here are some of the most common misconceptions surrounding lasting power of attorney:

“My family will just take care of me.”

Unfortunately, this isn’t so simple. If you were to lose capacity – perhaps due to illnesses such as dementia or stroke – your spouse or family would not be automatically entitled to make decisions for you. They would not legally be able to access your bank, take care of your finances or make choices about your health, without an LPA.

“But I have a next of kin.”

Your next of kin has no legal entitlement to make any medical or financial decisions for you without an LPA. With no LPA, you could run into difficulty should you lose capacity.

“It’s too difficult/expensive.”

Nowadays, it’s much less expensive or difficult than you might expect – you can even set up a Power of Attorney online, via companies such as Power of Attorney Online //powerofattorneyonline.co.uk/.

“I’ve already got a Will.”

Although a Will defines how your affairs may be managed after you pass away, it doesn’t apply whilst you’re still alive – an LPA would still be necessary to help important decisions to be made on your behalf.

“I have joint assets.”

Even if your assets or accounts are jointly held with your partner or spouse, this doesn’t automatically allow your partner to manage the account independently, and your accounts may be frozen until an LPA or authorised individual is available to manage your affairs.