Planning for the future isn’t just about your finances—it’s about ensuring your wishes are honoured, no matter what happens. When it comes to estate planning it’s not all just about Wills and planning for our demise. We also undertake a lot of life planning and one powerful tool is an LPA. A Lasting Power of Attorney (LPA) is a legal document that lets you appoint someone you trust to make important decisions on your behalf if you become unable to do so or if you choose not to make them for yourself.
Without an LPA, your family could face delays, unnecessary expenses, and the stress of having decisions made by the Court of Protection. At APT Legal, we understand how vital it is to secure peace of mind for the future. In this guide, we’ll explain what an LPA is, why it’s crucial, and how to set one up.
What is a Lasting Power of Attorney?
An LPA is a legal document that authorises someone you trust (your attorney) to act on your behalf. There are two main types of LPAs, each focusing on specific aspects of your life:
- Property and Financial Affairs LPA
- This type allows your attorney to handle your financial matters.
- Examples of actions they can take:
- Paying bills
- Managing bank accounts
- Selling or renting property
- Key Note: This LPA can be used while you still have mental capacity (with your consent) or if you lose capacity.
- Health and Welfare LPA
- This type focuses on your personal care and medical decisions.
- Examples of decisions they can make:
- Where you live (e.g., staying at home or moving into care)
- Medical treatments, including life-sustaining options
- Key Note: This LPA only takes effect if you lack the capacity to make these decisions yourself.
Why You Need an LPA
Many people assume that their spouse, partner, or next of kin will automatically step in to make decisions for them if needed. Unfortunately, this isn’t the case. Without an LPA:
The Court of Protection may need to appoint a deputy, which can be expensive, time-consuming, and stressful.
Decisions made may not align with your wishes, as the court won’t know your personal preferences.
Top Reasons to Have an LPA:
- Control Over Your Future: You choose who manages your affairs, ensuring that your values and decisions are respected.
- Avoid Costly Delays: An LPA eliminates the need for court involvement, allowing timely decisions.
- Peace of Mind: Knowing everything is in place eases stress for you and your loved ones during challenging times.
How to Set Up an LPA
Setting up an LPA is simpler than it may seem when you have the right guidance. Follow these steps:
- Choose Your Attorney(s)
- Pick someone you trust completely.
- You can appoint multiple attorneys and specify whether they should act jointly or independently.
- Complete the Forms
- Forms can be filled out online or on paper.
- Provide details of your chosen attorneys, any instructions for them, and your preferences for decision-making.
- Sign and Witness the Forms
- Signing must follow a specific order:
- You sign first.
- A certificate provider confirms that you understand the LPA.
- Your attorney(s) sign last.
- Witnesses must meet strict criteria to validate the document.
- Register with the Office of the Public Guardian (OPG)
- Registration is required before the LPA can be used.
- The standard fee is £82 per LPA, but exemptions or reductions may apply depending on your circumstances.
Common Mistakes to Avoid
Even minor errors can invalidate an LPA or cause delays. Here are common pitfalls and how to avoid them:
Incorrect Signing Order: Always ensure the signing follows the correct sequence.
Incomplete Information: Fill out all sections, including details of replacement attorneys, if applicable.
Inappropriate Witnesses: Witnesses must be independent and not related to the person they’re witnessing for.
Real-Life Scenarios: How LPAs Make a Difference
- Avoiding Court Delays
- Jane appointed her sister as her attorney under a Health and Welfare LPA. When Jane had a stroke, her sister could quickly make decisions about her care without waiting for court approval.
- Managing Finances Seamlessly
- David, diagnosed with early dementia, created a Property and Financial Affairs LPA. As his condition progressed, his son seamlessly took over managing his finances, avoiding unnecessary stress.
These scenarios show how LPAs can make difficult times smoother for everyone involved.
FAQs About LPAs
- What happens if I don’t have an LPA?
If you lose capacity without an LPA, your family will need to apply to the Court of Protection, which is costly and time-consuming.
- Can I appoint more than one attorney?
Yes, you can appoint multiple attorneys and decide whether they should act jointly or independently.
- How often should I review my LPA?
It’s wise to review your LPA every few years or after major life changes like marriage, divorce, or moving house.
Why Choose APT Legal?
At APT Legal, we specialise in simplifying complex legal processes. Here’s how we can assist:
- Expert Guidance: We’ll guide you through every step of creating and registering your LPA.
- Personalised Support: We take the time to understand your unique needs and priorities.
- Trusted Professionals: With extensive experience in estate planning, we provide reliable, client-focused service.
A Lasting Power of Attorney isn’t just a legal document—it’s a crucial step in protecting your future and ensuring your wishes are respected. Whether it’s managing your finances or making critical healthcare decisions, an LPA offers peace of mind for you and your family.
Don’t leave your future to chance. Contact APT Legal today to begin the process and take control of your legacy.
