What Is a Lasting Power of Attorney?
A Lasting Power of Attorney (LPA) is a vital legal document that allows you to appoint one or more people (known as ‘attorneys’) whom you trust with the authority to make decisions on your behalf if you are unable to do so. You may lose mental capacity or no longer wish to make decisions for yourself, and an LPA provides you with peace of mind by ensuring that someone you trust will handle your affairs if you are no longer able to do so. While many people assume LPAs are only for the elderly, they’re essential for individuals of all ages. This blog explains what LPAs are, why they’re important, and how they can protect your future.
There are two types of LPAs:
- Property and Financial Affairs LPA: This type of LPA gives your attorney the authority to make decisions about your finances and property. This could include managing your bank accounts, paying bills, or selling your home.
- Health and Welfare LPA: This type of LPA allows your attorney to make decisions regarding your personal health and welfare. It covers matters such as medical treatment, care arrangements, and even decisions about life-sustaining treatment if you are unable to communicate your wishes.
Who Can Be an LPA Attorney?
The role of an LPA attorney is open to most people, but there are some requirements to consider being eligible. To act as your attorney, a person must:
- Be over 18 years old.
- Not be bankrupt (for Property and Financial Affairs LPAs).
- Be mentally capable of making decisions.
Many people choose close family members, such as a spouse or adult children, to act as their attorneys. However, you can also appoint trusted friends or professionals, such as a solicitor, to take on the role. It is crucial to think carefully about who is best suited to the task, as the person you choose will have a significant impact on your life if you lose capacity.
This role comes with legal responsibilities, and misuse of an LPA could result in legal consequences, so it is a serious commitment.
The Process of Creating an LPA
Creating an LPA is straightforward but must be done correctly to ensure its validity. The process involves:
- Choosing Your Attorney(s): This person should be someone you trust implicitly. Attorneys must always act in your best interests and always following your wishes as much as they possibly can. You can also appoint more than one attorney and specify whether they must act jointly or independently. LPAs must be created while you have full mental capacity. LPAs are designed to plan ahead for a time when you may lose capacity. Once mental capacity has been lost it is too late to create an LPA and you may have to go down the Court of Protection route, which is much more expensive and a much longer process.
- Completing Forms: You’ll need to complete the official LPA forms, specifying your preferences and restrictions and send them to the Office of the Public Guardian (OPG). You will need to pay a registration fee which is currently £82 per LPA in the UK.
- Certification: An independent witness must confirm that you understand what you’re signing and aren’t under pressure. Each LPA must also be signed by the certificate provider. This can be someone who has known you for at least two years, or preferably, a Solicitor who is helping you create the LPAs.
- Registration: The LPA must be registered with the OPG before it can be used. This process can take several weeks.
A solicitor can guide you through each step, ensuring the document is legally sound and meets your needs.
Why LPAs Are Essential for Everyone
It is a common presumption that LPAs are something only the elderly need, but accidents or sudden illnesses can happen at any age. Without an LPA, your loved ones might face significant challenges:
- Financial Restrictions: Without a Property and Financial Affairs LPA, your family may struggle to access your bank accounts or manage your finances. They would need to apply for a deputyship through the Court of Protection, which is time-consuming, expensive, and stressful. Unless you have an LPA, even a spouse or partner may face legal barriers when trying to manage your finances or make medical decisions.
- Healthcare Decisions: Without a Health and Welfare LPA, medical professionals will make decisions about your care based on what they believe is best, which might not always align with your wishes. Your family’s input could be limited.
How a Solicitor Can Help
While it is possible to create an LPA yourself, using a solicitor offers several advantages. Setting up a lasting power of attorney by yourself can be more complex than you might expect. Given that it is a legal document, an LPA must be completed correctly for it to be registered with OPG. If you make any mistakes or your forms are incomplete, your LPA may not be able to be used when it’s needed.
Getting your LPA professionally drafted ensures that is valid, correct and that all your wishes are respected.
Last Words
A Lasting Power of Attorney is an essential legal safeguard for everyone, regardless of age or circumstances. It ensures that your affairs are managed, and your preferences are respected, even if you can’t communicate them yourself. It is important for you to be well informed about the issues and possible implications of creating a Lasting Power of Attorney. However, expert legal support is important in terms of ensuring your wishes are met as you would want them to be.
Don’t wait for life to happen – To speak to our experienced Wills and Probate solicitors today to learn more about our LPA services, simply call us on 03330 14 24 24 or email us at hello@myprobatesolicitors.co.uk and gain the peace of mind that your future is taken care of.