Business

Financial Advantages Of Enduring Power Of Attorney

An enduring power of attorney power of attorney is a legal document which permits you to appoint a person, such as a lawyer, to manage your finances and perform certain decisions in your behalf. The power commences if and when you are no longer able to make sound decisions due to injury, dementia and other conditions. Your inability to make decisions must be certified by a medical doctor, in order for the document to be valid. Here are some of the benefits of having an enduring power of attorney.

Immediate management of financial affairs

An enduring power of attorney can immediately commence the moment the donor (you) signs the document or you can have it take effect on a future date. The enduring power of attorney can also start to take effect the moment your appointed lawyer sees the need to apply the agreement. This is in case you, the donor, are rendered incapacitated to decide or perform legal actions.  You can also indicate in the legal document that it will take effect upon the doctor’s certification that you can no longer physically or mentally function reliably.

Safeguard the donor’s interests

By having an enduring power of attorney, you can be sure that your finances will be properly managed for you and your family’s interest. This is particularly important if you have a large estate or several businesses with a number of children or family members. With the right lawyer, you can be sure that no one will take advantage of your condition. To further protect your financial affairs and properties, it would be best to hire two lawyers who will conduct proper check and balance of your finances.  This will also safeguard against large sum of withdrawals or selling of assets and properties.

Confidentiality

Another advantage of having an enduring power of attorney is that you can be sure that your financial state will not be disclosed and fully protected due to the confidentiality clause of the agreement. This way, your financial affairs will remain protected and free from potential abuses and misuse by unauthorized individuals.