A power of attorney (POA) is a legal document that allows another person to act on your behalf.

Why Should You Have a Power of Attorney?

Powers of attorney can be useful for elderly people or others who want to choose a trusted person to act on their behalf when they are unable to do so.

Creating a power of attorney is a private way to designate a substitute for decision-making and is relatively inexpensive.

Although it may involve the help of an attorney, or in many cases, if you already have the document, it only needs to be notarized by an authorized and commissioned Notary Public.

If a power of attorney is not created in advance, a friend or family member may have to go to court to have a guardian appointed, and that process can be lengthy, costly, and public.

A financial power of attorney can be used as a tool for planning for a future disability.

A disability to make financial decisions, due to, for example, dementia, a traumatic brain injury, or some other impairment affecting mental function.

When used for advance planning, a power of attorney is generally “durable,” meaning it remains effective even if the person who created it becomes incapacitated.

A financial power of attorney can also be used on a short-term basis.

For example, if a military service member is deployed overseas, he or she can create a power of attorney so that someone can pay bills, sell property, or handle other matters in their absence.

However, a power of attorney involves certain risks.

It gives another person, your agent, significant authority over your finances without regular oversight.

Abuse of a power of attorney can take many forms:

• The power of attorney document itself may be a forgery.
• Your agent could pressure you to grant authority you do not wish to give.
• Your agent may spend your money on themselves rather than for your benefit.
• Your agent could do things you did not authorize, such as making gifts or changing beneficiaries on insurance policies or retirement plans.

Many states have laws that allow your agent to act appropriately on your behalf and prevent abuse of the power of attorney.

To learn more about legal services in your state, contact your local aging services agency or senior and disability resource center.

For more information about an agent’s duties under a power of attorney, read this guide on how to manage someone else’s money.

Protect yourself from power of attorney abuse by doing the following:

• Trust, but verify. Only name someone you truly trust and ensure that the person knows your wishes and preferences.
• You can require in your power of attorney that your agent periodically reports to another person about the financial transactions they conduct on your behalf.
• Inform other friends, family, and financial advisors about your power of attorney so they can keep an eye out for you.

Remember that power of attorney designations are not set in stone: they can be changed. If you decide that your agent is not the best person to handle your finances, you can revoke (cancel) your power of attorney.

Be cautious of anyone who wants to help you manage your finances and be your new “best friend.” If an offer of help seems too good to be true, it probably is.

If you need the services of a Notary Public to notarize a Power of Attorney (POA), you can contact us HERE, and we will gladly provide the notarization service for your Power of Attorney.

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If you do not have the document to be notarized, we can also help you with how to obtain it and then assist you with notarizing that document.

Like a Will, can it bring peace of mind to you and your family? *** Notary Public (Notario Público) in the State of Florida, we are not attorneys ***

Legal Disclaimer: The Notary Public Service seeks to provide timely articles for notaries and people looking for information, just to assist them with information and ideas for managing their notary businesses or to give some idea of what they need for the future, enhancing their notary education, but makes no claims, promises, or guarantees about the accuracy, completeness, or adequacy of the information contained. Information in this article is not intended as legal advice. We are not attorneys. We do not pretend to be attorneys. Although we sometimes provide information regarding federal laws and statutes and the laws and statutes of each state, we have gathered the information from a variety of sources. We do not warrant the information gathered from those sources. If you are a Notary Public, it is your responsibility to know the appropriate laws governing your state. Notaries are advised to seek the advice of an attorney in their state if they have legal questions about how to notarize.