To choose an attorney-in-fact, you must consider your options carefully. Aside from your personal preferences, there are also legal requirements for who you select. Your attorney-in-fact may not: Be under the age of majority in your state. Currently be in a state of bankruptcy. Be the owner or employee of a care home where the principal resides or receives treatment.
A Power of Attorney can be used for any adult individuals, but it needs to be notarized in order to be effective. Within these documents, the principal outlines exactly which powers they would like the agent to have. A principal can also appoint a secondary agent, should their agent be unable or unwilling to perform.
The document also automatically terminates when:
- The Principal dies.
- The Principal becomes incapacitated (if non-durable).
- The Agent dies or is declared legally incompetent and there is no successor named.
If you do decide to void a Power of Attorney, you should notify any banks, businesses, or other institutions that might be affected.
A Power of Attorney is a document between two parties, a principal and an agent, through which a principal can appoint someone to make financial decisions on their behalf. The principal is the person who signs the Power of Attorney and allows the agent to take over financial assets. Often, documents such as this are used when a principal is unable to make their own financial decisions, or in some cases, simply needs someone else to make such decisions for them. It is a serious document which should be entered into after much consideration.