info about something like a power of attorney?

edited 30 November -1 at 1:00AM in Disability Money Matters
8 replies 2.1K views
cowsnhopecowsnhope Forumite
233 Posts
edited 30 November -1 at 1:00AM in Disability Money Matters
Hi
My friend has asked me to guarantee his rent which right now I'm happy to do but he has mental health difficulties and when he is in crisis I would not do this. My friend has offered to let me manage his money for him when he is ill but I know nothing about this. Does anyone have any advice?
Many thanks

Replies

  • MojisolaMojisola Forumite
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    Does this help?
    http://www.mind.org.uk/information-support/legal-rights/mental-capacity-act-2005/lasting-power-of-attorney-lpa/#.VmgQJsr6mt8

    Re the rent guarantee - if you become his guarantor, you will be responsible for his rent all the time, not just when he is well.
  • Thanks - I know I'll still be responsible for his rent - what he is asking me to do is to take control of his money when he is ill so that he continues to pay his bills.
  • poppy12345poppy12345 Forumite
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    cowsnhope wrote: »
    Thanks - I know I'll still be responsible for his rent - what he is asking me to do is to take control of his money when he is ill so that he continues to pay his bills.
    Wouldn't it be easier for him to pay his bills by direct debit?
  • :-)
    It would if he left money in his account to pay them
  • Richie-from-the-BoroRichie-from-the-Boro Forumite
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    A landlord can and usually does take legal action to recover any unpaid rent from you as guarantor, it may also be the case that any damage etc to the property will also result in action against you - check the guarantee / guarantor agreement and in particular liability beyond the fixed term, or to an extensions or to variations such as rent increases.

    If for any reason his income from any source is stopped you will have to pay everything in the 4 corners of the contract for as long as the contract exists. I would never act as guarantor for anyone except my own children and I'd think very very carefully about even doing it for my children. Help yes, guarantor no, there is no reasonable reason why [#4] it is not already automated in the first place. Best of luck.
    Disclaimer : Everything I write on this forum is my opinion. I try to be an even-handed poster and accept that you at times may not agree with these opinions or how I choose to express them, this is not my problem. The Disabled : If years cannot be added to their lives, at least life can be added to their years - Alf Morris - ℜ
  • TBagpussTBagpuss Forumite
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    Like others, I would very strongly advise against becoming a guarantor as this means you would be personally liable for his rent if he fails to pay it for any reason.

    IT would be open to him to give you a lasting power of attorney which would allow you to manage his money on his behalf.

    You might be able to arrange to set up 2 bank accoutns - one woth him money going in, and essintial paymetns such as rent and utility bills going ou, and a second account fed by a regualr standing orde rfrom the forst, which he could use for day-to-day spends.
    If he wished, then you could set up the first account so he didn't have a bank card or passwords, to limit his access to that saccount, to prevent him from emptying it when he is ill.

    It may also be worth looking at notifying hisabnk specifically about his mental health issues (with his consent, of course!) - this might help to protect him if he gets into finacial dificulty as a result of his illness, particualrly in the event that he goes overdrawn or taks out loans he cannot afford.
    All posts are my personal opinion, not formal advice Always get proper, professional advice (particularly about anything legal!)
  • Savvy_SueSavvy_Sue Forumite
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    cowsnhope wrote: »
    Thanks - I know I'll still be responsible for his rent - what he is asking me to do is to take control of his money when he is ill so that he continues to pay his bills.
    One problem with this is that when someone is ill, they may not realise it, and may then dispute with you whether or not they are ill / ill enough to need you to step in / whether they ever asked you to do this.

    Not to be done lightly. Definitely not to be done informally.
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  • Thank you Savvy_Sue - you are completely right in this, my friend will want and ask for help when he is well and when he is becoming ill but when in crisis he may well think that I am trying to harm him rather than help. I do not know if having the power of attorney would even help with this.

    Thank you TBagbpuss - my friend has done this already but it only partially works
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