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What is a Power of Attorney?
A Power of Attorney is a legal document in which you give someone you trust (called the “attorney”) the right to make decisions for you.
There are two main types of Powers of Attorney:
- Power of Attorney for Personal Care
- Continuing Power of Attorney for Property
A Power of Attorney for Personal Care only comes into effect when you are incapable of taking care of matters on your own. The person you name will have the authority to make decisions about your care, including medical treatments/healthcare, housing, clothing, and meals. You can include instructions, conditions, and restrictions on their decision-making.
A Continuing Power of Attorney for Property can come into effect immediately, or you can specify a date it will come into effect. This document can be useful in situations where you are unavailable due to travel, sickness, or other reasons. The person you name will have the authority to make decisions about your finances, including banking, paying your bills, maintaining or selling your house, or managing your investments. You can include conditions and restrictions on their decision-making–for instance, you can limit their authority to specific assets or transactions.