What is a Power of Attorney?
A power of attorney (POA) can be an important legal solution that can also help you avoid costly complex legal problems.
A POA is a legal document that allows a person to act on your behalf in financial matters.
The person delegating the power is known as the principal (also referred to as a donor or grantor and the person receiving the power is known as the attorney (also known as the done, grantee or agent).
What are the Attorney’s Responsibilities?
An attorney must:
* not pay or give gifts or benefits to themselves or other people using your finances unless you specifically ay they can
* act in your best interests at all times
* keep your money and property separate from theirs
* maintain proper records of their dealings with your money and property
* avoid conflicts between their interests and yours
Who can make a Power of Attorney?
In general, a principal must be 18 years of age and legally competent. In other words, the principal should understand the nature and effect of the POA in terms of what he/she as an attorney can do, when the attorney can make decisions, what kind of decisions, and the impact of this decision making.