What is a Power of Attorney form
Power of attorney is a document in which one gives his attorney the power to act and sign documents in his place or on his behalf.
The power one gives his attorney can vary from person to person according to ones needs and situation. thus the power of attorney can be for one narrow purpose and subject to limitation or conditions, or it can be more general and even cover all aspects of one’s financial matters.
A power of attorney is usually given when one is concerned he will not be able to function properly in the future and will not be able to conduct his financial affairs. This may be due to illness, accident or even a long trip abroad.
The most important thing when issuing a power of attorney is choosing an attorney you have complete trust in. It is important you trust both his hones and competence to handle your affairs.
The second important thing to consider before giving power of attorney, are the limitations and conditions you add to the document.
These conditions can include stating when the power of attorney will begin or end, stating specific powers your attorney is allowed to handle etc’.
There are three main types of power of attorney:
1. General power of attorney. This is the broad document, in which one provides the attorney the right to act on his behalf on all or most financial matters. The general power of attorney is usually used when one is unable to handle his affairs, be it for physical or mental reasons.
2. Special power of attorney. This is a narrow document, in which one provides the attorney the right to act on his behalf on a specific issue. For examples: giving your agent the power to sell your car.
3. Health Care Power of Attorney. This document is used when you want to give your attorney the power to make health care decisions for you, in the event you are unable to make such decisions because of the state of your health or mental fitness.
Another term you may come across is durable power of attorney. The durable power of attorney form is a regular power of attorney form with one important difference: The durable power of attorney remains effective in case of disability.
Durable Power of Attorney form | Medical Power of Attorney form | General Power of Attorney form