What are the Different Types of Lasting Powers of Attorney?

17 Aug What are the Different Types of Lasting Powers of Attorney?

What are the Different Types of Lasting Powers of Attorney?

You may have heard about Lasting Powers of Attorney (LPA), but did you know there are two main types, each serving a distinct purpose and granting specific decision-making powers to the appointed attorney?
The differing types of LPA are designed to address various aspects of an individual’s life and they can be used separately or together, depending on the preferences and needs of the person making the Power.

The first type is a Lasting Power of Attorney Property and Financial Affairs. This type of LPA allows the person creating the Power, known as the donor, to appoint one or more attorneys to make decisions on their behalf about financial and property matters. These decisions can be made either while the donor still has mental capacity or, if specified in the LPA, only when the donor lacks the capacity to make such decisions.

The powers which can be granted under a Property and Financial Affairs LPA may include:

• Managing bank accounts and financial transactions
• Paying bills and debts
• Buying, selling or managing property
• Managing investments and pensions
• Dealing with tax matters
• Handling business affairs

The second type is a Lasting Power of Attorney Health and Welfare. A Health and Welfare LPA allows the donor to appoint one or more attorneys to make decisions about their personal welfare and healthcare when they no longer have the capacity to do so themselves. This type of LPA covers decisions related to medical treatment, care, and daily living arrangements.

The powers which can be granted under a Health and Welfare LPA may include:

• Deciding on medical treatments and care options
• Choosing a place of residence, such as care homes or hospices
• Making decisions about diet, dress, and daily activities
• Giving or refusing consent for medical procedures
• Consulting with healthcare professionals on the donor’s behalf

It is essential to note that the creation of an LPA is a significant legal decision, and individuals should carefully consider their choices for attorneys and the scope of powers they wish to grant. LPAs must be created while the donor still has the mental capacity to do so, and they must be registered with the Office of the Public Guardian (OPG) before they can be used.

By making Lasting Powers of Attorney, you can plan for the possibility of losing mental capacity in the future and ensure that your chosen, trusted attorneys are appointed to make decisions on your behalf.

Our experienced private client team are here to help you make sure you carefully consider all aspects of making Powers of Attorney, and to get the paperwork right first time. You may have seen headline rates from some LPA providers who offer low fee rates but very often these rates do not cover all aspects of creating an LPA – particularly supplying the required Certificates to enable registration to take place. Our team provide a full service to make sure your Power is properly created and registered with the OPG. Talk to our team of experts to see how we can help.