Appointing a Power of Attorney to Ensure Your Financial Future
When you divorce, you should prepare a new power of attorney for property. It’s especially important to have one if you have health problems that could escalate, leaving you incapacitated. Appointing a power of attorney for property will ensure that someone you trust is in charge of your financial matters if for some reason you are unable to manage them.
If something happens that makes it impossible for you to deposit money into your bank account, pay bills, file for disability insurance, handle insurance claims, manage investments or take care of other financial responsibilities, it’s a must that you have a power of attorney for property. The person you appoint will take care of all of these matters for you. Otherwise family members will have to go before the courts to have someone appointed to take care of your finances. This is expensive and the court proceedings can be an embarrassment. Court proceedings are a matter of public record.
Another reason for having a power of attorney for property is to prevent family members from disagreeing as to who should do fulfill this role if you are incapacitated. This can cause a rift within the family and the need for lawyers to settle the dispute. The costs of these lengthy battles fall back onto you and can decimate your financial security.
An appointed power of attorney is recognized as the person you wish to handle your financial affairs. It is a powerful legal document that, once signed, will give you peace of mind. Should you become incapacitated and unable to supervise your finances, things will be well taken care of.
If you already have an appointed power of attorney, your house is in order and you have no need for worry. If you haven’t yet appointed a power of attorney to look after your financial affairs, do so today. You never know what the future holds in store. By Mary M. Alward
Here’s a sample power of attorney for property for your convenience:
CONTINUING POWER OF ATTORNEY FOR PROPERTY
THIS CONTINUING POWER OF ATTORNEY FOR PROPERTY is given by [client] of the City of Ottawa, in the Province of Ontario.
1. I appoint my [wife], [wife], to be my attorney for property, and I authorise my attorney to do, on my behalf, any and all acts, that I could do if capable, except make a will, subject to any conditions and restrictions contained herein.
2. If [wife] refuses to act, or is unable to act by reason of death, court removal, becoming incapable of managing property or resignation, I substitute and appoint [alternate attorney] to act as my attorney for property, in the place of any attorney appointed in paragraph 1 hereof who refuses or is unable to act. The substituted attorney shall, if able and willing to act, thereafter be my attorney for property, and I authorise her to do, on my behalf, any and all acts that I could do, if capable, except make a will, subject to any conditions and restrictions contained herein.
3. This is a continuing power of attorney. It is my intention and I so authorise my attorney that the authority given in this continuing power of attorney may be exercised during any incapacity on my part to manage my property, pursuant to section 7 of the Substitute Decisions Act.
4. If my spouse disposes of or encumbers any interest in a matrimonial home in which I have a right to possession under Part II of the Family Law Act, I authorise my attorney for me and in my name to consent to the transaction as provided for in clause 21(1)(a) of the said Act.
5. This continuing power of attorney for property comes into effect as of the date of execution set out below.
6. Any prior power of attorney for property or any power of attorney that affects my property given by me, except a power of attorney given to a bank or financial institution for the purpose of transacting my business with that bank or financial institution, is hereby revoked.
IN TESTIMONY WHEREOF, I have to my continuing power of attorney for property, which is written upon this and one preceding page of paper, subscribed my name this [date]
SIGNED, by [client] )
as his continuing power of attorney for )
property in the presence of us, )
both present at the same time, who at )
his request, in his presence and in the )__________________________
presence of each other, have ) [client]
subscribed our names as witnesses. )
_____________________ _____________________ ________________
_____________________ _____________________ ________________
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