Here’s what everyone should know about POAs
Do you need a power of attorney in Toms River? How do you know if a POA (power of attorney) is necessary?
A power of attorney in Brick is a legal document giving someone the legal right to act on your behalf. The legal document is often drawn up to protect your rights if you are incapacitated.
While a POA can be a beneficial legal step, it also gives someone else almost complete control over your life. Before you agree to a power of attorney in Toms River, there are a few things you should know.
POAs Give the Executor A Lot of Power
A lot of people do not understand that a POA is a powerful legal document.
A POA can give another person (or persons) the ability to act on your behalf concerning all financial and medical matters. They are typically able to engage in such actions without your direct oversight since the document allows for that.
This means you want to think carefully about who you place in charge. Remember, they may have control over everything from your finances to medical decisions.
There’s More Than One Type of POA
People often think that one power of attorney document is like all others. This is simply not the case.
Some POAs are limited to healthcare while others only apply to financial or property matters.
There are powers of attorney that are limited in time. There are also powers of attorney that are no longer valid if you become incapacitated.
You need to understand what you are trying to accomplish with a POA and then make certain that you have such a document crafted for that purpose. This is one of the reasons it’s always best to talk to an attorney about your power of attorney in Brick.
Limit Who You Appoint as Trustee
Parents with children often want to appoint all of their children, or multiple children, to serve as co-agents for them.
They do this because they want to be fair to all of them and don’t want anyone to feel slighted. While these are valid reasons, this can also create issues down the road.
Multiple agents have to get along and cooperate. They may all be required to sign documents together and this can slow down important matters. Generally, it’s best to choose one person to serve and name someone else as a backup.
POAs Do Not Cancel a Will
If you already have a will and you have appointed an executor under a POA, it’s a good idea to clarify who has the legal right to act after your death.
Your will goes into effect after your passing. The POA is only valid while you are living. Upon your death, the POA is automatically terminated.
This means the executor of your will is in charge of following your final wishes, even if those are different from what is outlined in the POA.
For more information about POAs, contact an attorney.
