Enduring Powers of Attorney – Law Change on 1st October 2007
Heptonstalls LLP are encouraging clients to make an Enduring Power of Attorney before a major Law change on 1st October 2007 replaces the current Enduring Power of Attorney with a Lasting Power of Attorney.
An Enduring Power of Attorney is a document allowing a person to appoint one or more trusted people (Attorneys) to manage their financial affairs. It can take effect immediately or it can be delayed until the person becomes mentally or physically incapable of managing their own affairs.
Existing Enduring Powers of Attorney will continue with no change, but it will not be possible to make new ones.
Claire Green, a Wills and Probate Solicitor at the firm comments,
“The name may not change much, however the new document will be far more complex than the current one and it is also expected that it will be much more expensive.
This is why we are encouraging people to not only consider making an Enduring Power of Attorney, if they have not already done so, but also to take the opportunity to consider appointing a second person so that the ‘Power’ can continue should something happen to the first appointed person. By completing this before October, the process will be less complex, with lower costs for our clients”.
This may all seem unnecessary to those who manage their own finances with no difficulty, but imagine if a person had an accident and suddenly lost the ability to look after their own finances, due to mental or physical incapacity. Life could become very difficult for loved ones, who would need to apply to the Court of Protection (in the case on mental incapacity) in order to act on their behalf. This difficult and lengthy process involves large amounts of paperwork, during which time bills could be mounting up. Ultimately, this avoidable process could end up being very expensive.
If you want to take advantage of the current law and make an Enduring Power of Attorney, or wish to seek general advice about making a Will, speak to our Wills and Probate department on 01405 765661.