The Benefit of Making a Will
Making a Will gives you the opportunity of ordering your affairs for after your death. We all have a natural reluctance to contemplate our own death, but it is the one thing in life that is guaranteed. If you do not leave a Will then the law will step in and a rigid set of rules, known as the Intestacy Rules, will decide what happens to your property and your money for you.
By making a Will you can control how your property and affairs will be dealt with, and who will benefit. It will ensure that your wishes are properly taken into consideration and it will make life much easier for those you leave behind.
What is Power of Attorney?
It is commonly thought that arranging a Power of Attorney is something that affects us later in life. The reality is that accidents and illness can strike at any time. A Power of Attorney is a deed executed by an individual (“the donor) giving power to another individual, or individuals, (“the attorney(s)”) to act on behalf of the donor and carry out various functions on the donor’s behalf, usually in relation to the management of the donor’s financial affairs and property. The donor does not lose the power to manage their own affairs after making a Power of Attorney but merely shares the power with the attorney except where the donor loses their mental capacity. It is, of course, essential that there is complete trust between the donor and the attorney.
An Ordinary Power of Attorney must be capable of being approved by the donor. It is useful where the donor is, for example, going abroad or simply does not wish to be bothered with dealing with his own affairs. Importantly, it ceases to have effect if the donor becomes mentally capable of managing his or her affairs.
However, a Lasting Power of Attorney (“LPA”) continues in force even after the donor becomes mentally incapable of handling their own affairs provided it is registered with the Office of the Public Guardian. As of 1 October 2007, it replaced the old-style Enduring Power of Attorney. Two separate LPAs can be made: one relating to the donor’s property and financial affairs and the other relating to the donor’s personal welfare.