Known as Power of Attorney in Scotland and Lasting Power of Attorney in the rest of the UK. If you became incapacitated, who would you want to look after your health, welfare, property, and financial affairs? This would need to be someone you trust. Incapacity can happen at any age and from a number of different scenarios. This could be a stroke, a car crash where you end up in a coma, even if it is only temporary or even a very high fever!
See this important document as a form of insurance. You likely pay for home insurance in case your house burns down or car insurance in the case you have a crash. You may pay these policies for years, even decades and never make a claim but you know you have cover just in case. A Power of Attorney is similar in the respect that you may pay for something but may never use it.
The problem comes when you need it and don’t have it. Not so much for you but for your immediate family that would be trying to help you out and would be powerless. If you don’t have a Power of Attorney setup and something was to happen your family would have to go to court to apply for a Guardianship or Court of Protection Order which can cost thousands of pounds and take many months to set in place.
A Power of Attorney is a legal document giving trusted people of your choosing, known as Attorneys, the legal power to make decisions on your behalf should you lack mental capacity at any point in the future.
In Scotland, one document usually covers both Health and Welfare and Financial affairs. They are separate in the rest of the UK, and you can choose to make one or both. Most people make both.
More than 80% or 41.6 million UK residents mistakenly believe that their spouse or relatives will automatically be allowed to make decisions about their health care needs if they were to be incapacitated. However, they are mistaken. Without a Power of Attorney, the family can find it impossible to engage with the medical profession and make decisions on their loved one's behalf. And this is even truer if you are not in a legally recognised relationship.
And without a Power of Attorney in place, your loved ones may not be able to access your assets or manage your financial affairs.
If you have already lost capacity, the only way to organise this is through a Court of Protection order in England and Wales or a Guardianship order in Scotland. That leaves the authorities to decide who is to look after your affairs.
It also means the authorities will make any decisions regarding your health care needs, including any nursing assistance you may require. They will also choose when you go into care and where you'll get your care. They will assess you and your family's ability to pay for the care home fees. This can have a big impact on your estate and any monies left for your loved ones.
By setting up a Power of Attorney, you will give your family members the authority to make important decisions about your health, wellbeing and financial affairs. You will also be able to express your wishes and ensure that all your affairs are managed by the person you choose.
The number of people with dementia in the UK is expected to grow rapidly over the next several decades, according to Alzheimer's Research UK. Age is one of the most significant factors for mental illnesses, such as dementia. Research also shows that 1 in 12 of UK adults aged above 65 years is diagnosed with some form of dementia.
What is startling is that 44 million people do not have a Power of Attorney, which represents 85% of the UK population. Another more than 40% do not know what this vital document is.
Don't delay in putting a Power of Attorney in place. Let Linked Up Legal lead the way. Simply complete our short contact form or give our experienced team of estate planners a call and let us help you.
This can be used to give an Attorney of your choosing the power to make decisions about matters such as:
- Managing your finances with access to banking
- Paying any of your bills
- Collecting any pensions or benefits
- Selling your properties
- Carrying on your business This can only be used if you ever become incapacitated and unable to make decisions for yourself.
This can be used to give an Attorney the power to make decisions regarding your Health and Welfare such as:
- Medical care
- Life sustaining treatment
-Your daily routine (washing, dressing, eating etc.)
- Moving into a care home This can only be used if you ever become incapacitated and unable to make decisions for yourself.
Whether you are looking for a new will or updating an existing will Linked Up Legal can help
Powers of Attorney allow a family member or friend to make decisions in regards to your health and finances when you are not able to.
Trusts are an excellent tool to help protect assets for future generations of beneficiaries and potentially save on tax
Are you worried about your children's inheritance being lost to care costs? Linked Up Legal could provide you with a solution.
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