A Lasting Power of Attorney (LPA) is a legal document, for England and Wales, that allows you to appoint someone you trust to make decisions on your behalf if you become unable to do so yourself. Establishing an LPA is essential for several reasons, each of which underscores the importance of planning for the future and ensuring your wishes are respected.
- Protection of Your Interests
One of the primary reasons for having an LPA is the protection it offers. Life is unpredictable, and circumstances such as illness, accidents, or cognitive decline can suddenly render you unable to manage your affairs. Bank accounts will likely be frozen, even potentially joint bank accounts. Without an LPA in place, your loved ones may face significant challenges in making decisions on your behalf. An LPA allows you to designate a trusted individual to manage your finances and personal affairs according to your preferences, ensuring that your best interests are upheld. - Control Over Decision-Making
By establishing an LPA, you maintain control over who will make decisions for you. You can choose someone who understands your values, wishes, and lifestyle, ensuring that your preferences are honoured. - Avoiding Legal Complications
Without an LPA, your family may need to apply to the court for a deputyship if you lose the capacity to make decisions. This process can be lengthy, costly, and emotionally taxing. Appointing an LPA in advance simplifies matters and avoids potential disputes among family members. It provides clear legal authority to your chosen attorney, eliminating uncertainties and reducing the likelihood of disagreements. - Flexibility in Decision-Making
An LPA is not a one-size-fits-all document; it can be tailored to suit your needs. You can create two types of LPAs: one for Health and Welfare decisions and another for Property and Financial affairs. However, the Health and Welfare LPA only applies if you are living in the U.K and the Property and Financial Affairs LPA only works for assets and pension income emanating from the U.K. It does not cover bank accounts and property in Cyprus. We have however been able to negotiate with certain financial institutions in Eire and Luxembourg that they will accept an English LPA.
This flexibility allows you to specify what decisions your attorney can make and under what circumstances. For instance, you may choose to restrict your attorney’s powers in certain areas while granting them full authority in others.
- Peace of Mind
Knowing that you have an LPA in place brings peace of mind not only to you but also to your family. It alleviates concerns about the future and the management of your affairs. It is important to recognise that having an LPA in place can enable you to be able to redirect where your pensions, both state and private, are paid to ensure that your expenses and bills can still be paid.
Your loved ones will feel more secure knowing that there is a clear plan in place, which can significantly reduce anxiety and stress during difficult times.,
- Encouraging Open Conversations
Creating an LPA often encourages important discussions with family members about your wishes, values, and preferences regarding medical care and financial management. These conversations can be challenging but are essential for ensuring that your family understands your choices and is prepared to honour them.
We at Maplebrook Services Ltd can advise, guide and assist you in preparing LPAs and submitting them for registration with the Office of the Public Guardian in Birmingham.
For further information or advice, please consult with a qualified Estate Planner at Maplebrook Services Ltd. Contact us at +357 26600780 or email [email protected]. Join us for our next Free Life Admin Clinic on Wednesday 27th November 2024, from 10:30 AM – 3:00 PM.
