Lasting Powers of Attorney for Property and Financial Affairs

January 2013

Lasting Powers of Attorney for Property and Financial Affairs

What is a Property and Financial Affairs LPA and how could it benefit me?

A Property and Financial Affairs LPA is a legal document that enables you to grant to a person you trust (your attorneys) authority to act on your behalf in relation to your personal property and financial affairs. Your attorneys would be able to pay bills on your behalf, to deal with your bank or your building society and to manage any investments you may have. They would be able to deal with your property and finances in exactly the same way as you can.

This is important because at any time any one of us could become either mentally or physically incapable of looking after our financial affairs.  We might be involved in a car accident, we might have a sudden stroke or over time we might become confused and gradually lose mental capacity.  

If this were to happen, it could make the everyday management of our financial affairs very difficult.  You might imagine that loved ones would be able to deal with all of your finances on your behalf, but this is not usually the case.  If you are unable to manage your Property and Financial Affairs LPA your finances may be frozen until an application is made to the Court of Protection for someone to be appointed as your Deputy.  This is a long and expensive process and you would have no say in who was appointed as Deputy.

In order to avoid these potential problems, everyone should still consider drawing up a Property and Financial Affairs LPA. Even if you hope that you will always be able to deal with your finances yourself, you should still go ahead and draw one up. I regard a Property and Financial Affairs LPA as a type of insurance – a protection against the expense and inconvenience that will result if you suddenly lose mental capacity and you need someone you trust to deal with your finances. It can be as important as drawing up a Will.

Please contact Jane Dwyer if you would like to find out more about a Property and Financial Affairs LPA.