A Lasting Power of Attorney (LPA) can save families undue stress and expense if they are worried about the health or mental capacity of a relative.
Lasting Power of Attorney’s (LPA’s) are not just for the old and the mentally incapacitated. Sadly, the pandemic is a reminder that no matter what age you are you could end up in hospital unable to manage your own affairs.
A Lasting Power of Attorney (LPA) provides individuals with the security and knowledge that their financial matters will be taken care of in the event of mental incapacity and is usually taken out through a solicitor.
There are two types of Lasting Power of Attorney (LPA), one covering health and welfare and the other covering property and finance.
A health and welfare Lasting Power of Attorney (LPA) allows medical decisions to be made about a family member should they become incapacitated because of ill health. A property and financial affairs Lasting Power of Attorney (LPA) gives similar permission over money and property, such as managing bank accounts and paying bills.
If individuals do not have a Lasting Power of Attorney (LPA), then an application to the Court of Protection is made and a deputy is appointed for them.
While this does provide more legal protection and safeguards for the individual’s finances than a Lasting Power of Attorney (LPA), the process is more expensive and can take more time.