Power of Attorney Form – Simple Yet Necessary Precauations
A Power of Attorney Form is a very important paper that enables an agent to start certain affairs in your name. Unfortunately, many people can abuse of the powers offered by this document, by using it in dishonest transactions.
A Power of Attorney Form can be used when recovering from surgery, when you are enjoying your vacation or when you are retaining the service of an expert (for example a real estate management business). Regardless of the reasons applied, you should be aware of the following tips in order to protect your identity and security:
1. Choose wisely
Pay attention to the “professionals” that claim to be able to work in your best interest. Take into account the idea that even the smallest decision, in terms of power of attorney, for example handling finances, can have terrible repercussions. If you don’t believe it, there are plenty of elderly people who can terrify you with their stories. Take into account your lawyer, family members or friends. Make sure they are reliable and can be trusted in situations of this type.
2. Limit the Power of Attorney
In case you want your agent to take care only of a couple of things, you probably do not need a General Power of Attorney. Not to mention that you have the power to determine how restrictive or broad your document should be.
For instance, you should think about specifying that your agent never invests in oil shares or repaint the house only in a specific color. Be careful not to break any laws and you are free to stipulate whatever you want.
3. Everything expires
A Power of Attorney starts to be viable from the moment you sign it until you annul it. Do not forget to specify an expiration date when the POA will lose its power and will not be able to be revoked.
4. Keep an eye on him
Keep your finances separated from the ones of your agent. In order to feel more relaxed about this, you can ask for statements or reports on a regular basis. You have to take care of yourself and make sure no one abuses their powers.
5. How to Close a Power of Attorney
Revoking a POA should be done in a written form or orally. Send some copies of this document to the 3rd parties (bank or deeds office). Do not forget to ask the agent you work with for the original documents before they expire or they get revoked.
Having your document elaborated by a lawyer is not legal. You can try to use the Power of Attorney Form as an example in order to create your own version. On the other hand, having it drafted by a popular law firm will not cost you a lot (compare various quotes).