Alternatives to Power of Attorney

Legacy_user

My 71 yr old father is recoving in hospital from quite a serious operation and I have been paying his bills for him as an when they arrive in the post (I take his chequebook into hospital for him to sign).
He has now told me that should anything happen to him which results in him being unable to deal with this sort of thing himself ie: a stroke, he would like to give me Power of Attorney.
Does anyone know how expensive this will be for him and whether it is necessary for him to take this action at all ie: is there anything less formal which the financial institutions will accept from him that will enable me to deal with such matters should the need arise.

Many thanks

Edinburghlass_2

I only know from personal experience in Scotland that when my Aunt went into hospital we arranged a POA for me to deal with her financial affairs etc.

I don't remember it as being expensive although I did have to take the laywer to the hospital so he could speak to my aunt to make sure she understood fully what it would mean. The lawyer also spoke to a dr and the sister of the ward to check that my aunt fully understood the POA.

HTH

Bossyboots

Have a look here http://www.adviceguide.org.uk/index/family_parent/family/managing_financial_affairs.htm for some details. I recently downloaded an enduring power of attorney for someone but can't find the site now. It will be cached on my computer at work so will look tomorrow.

System

Thanks to you both. I've printed off the information from your link Bossyboots for my dad to read so that he can decide what to do next.

Dora_the_Explorer_5

I did it for my stepdad about 3/4 years ago It's well worth doing because whilst he's fine it doesn't need to be used and when he's not it's in place. Wish I'd done it for my mum but left it too late and her affairs are now handled by the court of protection which doesn't feel as easy.

margaretclare

Pam17 wrote:

My 71 yr old father is recoving in hospital from quite a serious operation and I have been paying his bills for him as an when they arrive in the post (I take his chequebook into hospital for him to sign).

Paying bills....you mean the normal kind of bills that all of us have to deal with - gas, electric, those kind of things?

We're a pair of 70-yr olds and we don't give things like that a thought. Reason: electronic banking and direct debits, best invention since sliced bread. It all runs like clockwork without our having to do anything about it at all! Pension payments drop into our bank accounts automatically, household bills are all paid by direct debit from our joint account which we opened just for bills.

I am looking at further hip surgery at end of November and I'm not giving bills etc a thought. Have got more important things on my mind than that!

Failing that, I heard of someone who took out an Enduring Power of Attorney for her parents on their 65th birthdays!! Parents then were hale and hearty and it was the last thing on their minds. I don't know if it ever got used or not. Maybe it's one of those things, like insurance, that may not be needed, but would be regretted if it wasn't there.

Aunty Margaret

Edinburghlass_2

Thats great that you have a system in place for paying bills but many older people don't, they like the weekly trip to the PO to collect their pension and buy the stamps etc and especially if they are on their own there isn't that other person to fall back on if they can't do this.

To many independant people the fact of getting their bills paid is very much on their minds should they fall ill.

So yes, like insurance it is something that should be considered to ease the way for family who are trying to help

margaretclare

Edinburghlass wrote:

Thats great that you have a system in place for paying bills but many older people don't, they like the weekly trip to the PO to collect their pension and buy the stamps etc and especially if they are on their own there isn't that other person to fall back on if they can't do it

Do people still like the weekly trip to the PO to collect their pension?

Wasn't it all changed last year or year before, all pensions/benefits are now paid via a bank account? Once you have a bank account, all the other services are there at your fingertips.

Aunty Margaret

Dora_the_Explorer_5

It might be worth thinking of Power of Attorney as 'insurance' - only to be used when something goes wrong. Everyone may feel hale and hearty and have their financial affairs in good order but everyone can be plowed into by a truck on the motorway, leaving them injured and not up to looking after any immediate or long term financial affairs. Power of Attorney can be drawn up but only come into operation at an agreed point, for instance when the person doesn't feel up to dealing with their finances - for whatever reason - or when they become cognitively impaired. I'm 64 with no relatives and a good friend has my power of attorney - I don't know when I'll be poleaxed by a truck, or a stroke come to that, and neither does anyone else.
Sadly people become demented on an average of 3 years before it's diagnosed and by that time it's usually too late for power of attorney and the court of protection may have to be called on to handle a person's affairs. And beleive me, that doesn't come cheap.
No one likes to think they'll need help, and usually they won't, but it's prudent to have systems in place that one has decided on onself should it ever happen. Just like buying fire insurance fully believing a fire will never happen. And finally, it makes life so much easier because the individual concerned and their nearest and dearest know what to expect. There are benefits and disadvantages to everything so it might be worth doing a 'financial risk assessment' which should clarify the situation.

margaretclare

Hi Dora

You are lucky to have such a good friend. There is no one we could give power of attorney to. No one within 100 miles. My daughter is 250 miles away. B's son and daughter are, at closest, 100 miles then 170 miles. I have a younger brother in Liverpool and that's even further than my daughter.

Obviously it would not be practicable for any of our 3 offspring to visit us in hospital to pay bills, post cheques etc, that is one reason why we have systems in place to ensure that the money we receive arrives automatically, and all the bills get paid automatically the same.

Aunty Margaret

Bossyboots

margaretclare wrote:

Do people still like the weekly trip to the PO to collect their pension?

Wasn't it all changed last year or year before, all pensions/benefits are now paid via a bank account? Once you have a bank account, all the other services are there at your fingertips.

Aunty Margaret

Unfortunately there are still people like my mum who, despite the money being in their account, trot down to the PO to draw the pension money out!!

I have managed to agree with my mum a set amount to take out each week as at the moment her bills go from two accounts so some has to be transferred. I am going to look at getting the transfer done electronically or move all the bills to the account her pension goes into but time and energy elude me right now.