An introduction to Lasting Powers of Attorney
Why do I need to make a Lasting Power of Attorney when the executors of my Will can deal with my affairs?
A Lasting Power of Attorney (LPA) is not to be confused with a Will. A Will is only effective upon the death of an individual whereas an LPA can be used during your lifetime so long as it is registered with the Office of the Public Guardian and the donor has lost mental capacity. Although both documents are separate, it is quite common that the executors of your Will are also appointed as attorneys of your LPA.
How much does a Lasting Power of Attorney cost?
The cost of preparing your LPA is entirely dependent on the firm you choose to act for you. You are required to get the document signed by a Certificate Provider and again, fees are dependent upon the firm you choose. Furthermore, before an LPA can be used, it must be registered with the Office of the Public Guardian and there are fees for registering the documents.
Are there any further costs involved once you have prepared a Lasting Power of Attorney?
Following the execution of a power of attorney, it will not be possible for your attorney to deal with your affairs until the power of attorney has been registered with the Office of the Public Guardian. This is only a formal registration process and does not mean that the Office of the Public Guardian has any authority over your affairs. The current registration fee is £82 per LPA from 01/04/2017, unless you are entitled to a reduction or exemption. If the person who has made the LPA (the donor) receives certain means-tested benefits when they apply to register, they may be entitled to an exemption. If the donor’s income before tax is less than £12,000 a year, they will only have to pay half.
To apply for an exemption or remission on your LPA, please contact us for advice.
Can I cancel a Lasting Power of Attorney?
You can only cancel an LPA if you have mental capacity. This can be done by executing a deed of revocation.
What happens when the donor dies?
Upon a donor dying, the power of attorney is no longer valid and the Will comes into force meaning your executors and personal representatives if there is no Will take over the financial management of your estate and carry out the wishes as outlined in the Will.
Protect your wishes
If you would like to book an appointment with one of our qualified Estate Planning Consultants who can discuss the benefits of making a Lasting Power of Attorney with you, please contact us on 03455 20 30 40, or by clicking here.
The Will Writing Company can also provide cost effective, professional Attorney appointments through The Family Trust Corporation Limited. Contact us for more information.