What can your Attorney do?

It is very useful to appoint a Power of Attorney to handle your affairs on your behalf if and when you are unable to do so yourself. Your Attorney can sign your cheques, cancel your insurances, and even sell your home. Your Attorney can manage your affairs if your health deteriorates, or if you go overseas and it is too complicated to manage your own affairs from wherever you are living or holidaying.

Many people think that their partner will be able to step in automatically, but that is not the case. Even if you have been married for 50 years, your spouse will not be able to deal with any accounts, policies or possessions if they are in your sole name.

Ordinary Powers of Attorney

These are used for temporary purposes, such as if you are away from home for a few months.

Enduring Power of Attorney

This is for longer-term protection, and it remains in place if you become mentally incapable. An Enduring Power of Attorney can be in respect of your property, or your personal care and welfare.

You need to be very careful about appointing an Enduring Power of Attorney because the person you appoint, and the powers that they have, could have an enormous influence on the rest of your life. To ensure that there are no problems, you can do several things:

1. You can appoint two attorneys in relation to a Property Enduring Power of Attorney and specify that they have to act together, rather than separately or have back up attorneys if the original attorney has passed away.
2. You can restrict their powers by specifying the limits of what they can do.

However, you can only appoint one attorney to be responsible for your personal care. Their power only comes into effect if you become mentally incapable of understanding and arranging your own personal care. Their job will be to help deal with rest homes or hospitals, medical issues, and personal needs. They cannot sign your Will or make decisions about marriage, divorce or medical treatment. They cannot refuse consent to lifesaving medical action like blood transfusions.

Who should be my Attorney?

People often choose their partner as their attorney, especially for personal care and welfare. You could also choose a trusted relative or friend, or even professional person such as a solicitor or an accountant. The person should be healthy and likely to outlive you.

You should consider whether the attorney has the skills, judgment and time to handle your affairs. Family members may often find it difficult to act impartially, or may be influenced by other relatives. Once you have appointed an attorney, avoid later misunderstandings by making sure that close friends and family members know.

You can withdraw a Power of Attorney at any time as long as you are still mentally capable.