What have we been talking to clients about this month – April 2023
One of the common themes we have been discussing with clients this month is – Arranging a Lasting Power of Attorney (LPA)
There are two types of LPA which allow your loved ones to take care of you and your finances if you become unable to do so yourself. These are as follows:
- A ‘Property and Financial Affairs’ LPA which allows your loved ones to deal with paying your bills, buying and selling property and managing your investments.
- A ‘Heath and Welfare’ LPA which covers decisions about your health and care and possibly even deciding where you are to live. It can only be used if someone is incapable of dealing with such matters themselves.
An LPA ensures that, should you be unable to manage your own affairs, the people you have appointed can manage your financial life on your behalf. This can save a great deal of delay, money and distress and will ensure that, as a vulnerable person, your affairs will be handled correctly and quickly.
According to the Alzheimer’s Society, more than 1 million people in the UK will have dementia by 2025. More than 1 in 5 people over 85 already suffer from this, with rates significantly higher amongst women than men.
Accidents, strokes, brain injuries and Parkinson’s disease can also affect someone’s ability to make their own decisions. Handling your financial affairs can become virtually impossible, which is why charities who care for the elderly recommend everyone plans ahead. This could have the dual benefit of saving a great deal of money and easing the burden on your relatives. If you lose mental capacity without an LPA in place, your family must apply to the Court of Protection to have a deputy appointed to deal with everyday financial matters. This is a slow and very expensive process, costing thousands of Pounds. If you already have an LPA in place, this will not be necessary.
We strongly recommend that everyone has an LPA and whilst we are not able to write this for you we have a strong network of Family Solicitors and LPA/Will Writer’s that can help you with this. Just drop us a line and we will be pleased to introduce you to someone.