Everyone over the age of 18 should make an Enduring Power of Attorney (EPA), which is a legal document that allows you to choose a trusted person (or people), known as an Attorney to act on your behalf in relation to your financial affairs and property.

People have them in case they lose mental capacity and can no longer deal with their financial affairs but they can also be helpful in other situations. For example, if you are in hospital for a while, your Attorney (at your request), could access your bank account and pay your bills. Once you were better, you could take charge again.

Jenny Pierce, Head of Wills & Probate at Wards Solicitors says: “Many people believe that a close family member can act without an EPA in these circumstances but this is not true. Without an EPA, there is no-one legally in place to act and someone will have to apply to the Court of Protection to be appointed as Receiver. This is an expensive, time-consuming and long-winded process and is best avoided if at all possible”.

Making an EPA is straightforward, with the right legal advice, and your Attorney will be able to act for you as soon as it has been registered with the Court of Protection, which is simple.

However, time is running out for EPAs. From Autumn 2007, The Mental Capacity Act 2005 will come into force and replaces EPAs with Lasting Powers of Attorney (LPAs). LPAs have positive and negative sides. On the positive side, it will be possible to appoint attorneys to act in relation to health, welfare and end of life decisions, as well as on finance and property issues.

On the negative side, they will be much more complex to make and must be registered with the Public Guardian before use. As such, it is expected that they will cost 3-4 times more than an EPA to make. EPAs are less complex and can be used in many situations without the involvement of the Court of Protection or the payment of additional fees.

Jenny concludes: “From Autumn 2007, only those who have already signed an EPA will be able to keep and use it. Our advice therefore is don’t wait. Make an EPA now, which gives you much the same benefits as an LPA but for a fraction of the cost. Wards Wills & Probate lawyers are all experienced in advising on EPAs and many are members of Solicitors for the Elderly (SFE), as well as of the Society of Trust and Estate Practitioners, so are experts in this field”.

For further information, please contact:

Jenny Pierce, Head of Wills & Probate, Wards: 0117 929 2811
jenny.pierce@wards.uk.com