- Difference Between Types Of Powers Of Attorney
- Standard Power Of Attorney
- Durable Power Of Attorney
- Springing Power Of Attorney
- Healthcare Power Of Attorney
- Financial Power Of Attorney
Difference Between Types Of Powers Of Attorney
A power of attorney (POA) is a legal document that gives someone else the authority to act on behalf of the person who created the POA. Depending on the type of POA, the individual who is granted the authority may have the ability to make decisions, sign documents, and access bank accounts on behalf of the POA’s creator. There are several different types of POAs, each with their own purpose and limitations.
Standard Power Of Attorney
A standard POA is the basic type of POA and can be used in many different situations. It allows the individual granted the POA to make decisions on behalf of the POA’s creator, such as buying and selling property, entering into contracts, and managing finances. A standard POA has no expiration date and remains in effect until it is revoked or the creator of the POA passes away.
Durable Power Of Attorney
A durable POA is a type of POA that allows the individual granted the POA to take action even if the creator of the POA becomes incapacitated. In the event of incapacitation, the individual granted the POA is able to make decisions on behalf of the POA’s creator. A durable POA is also sometimes known as an “enduring POA.”
Springing Power Of Attorney
A springing POA is a type of POA that does not take effect until a specific event occurs, such as the POA’s creator becoming incapacitated or unable to make decisions for themselves. This type of POA is typically used when an individual anticipates that they may become incapacitated at some point in the future and wishes to have someone else make decisions on their behalf.
Healthcare Power Of Attorney
A healthcare POA is a type of POA that grants an individual the authority to make medical decisions on behalf of the POA’s creator in the event that they become incapacitated or unable to make those decisions themselves. A healthcare POA is an important document to have, as it ensures that the individual’s wishes are followed in the event that they are unable to communicate them.
Financial Power Of Attorney
A financial POA is a type of POA that grants an individual the authority to manage the financial affairs of the POA’s creator. This can include paying bills, making investments, and withdrawing or depositing money from bank accounts. A financial POA is often used when an individual knows that they will be unable to manage their own finances at some point in the future, such as due to illness or disability.
There are many different types of powers of attorney, each with its own set of rules and limitations. It is important to understand the differences between these types of POAs so that you can choose the best one for your situation.
The best power of attorney to have depends on your individual needs. If you anticipate becoming incapacitated at some point in the future, a durable or springing POA may be the best option. If you need someone to make decisions related to your healthcare, a healthcare POA is a good choice. And if you need someone to manage your finances, a financial POA is the best option.
When it comes to withdrawing money from a bank account, it depends on the type of POA. With a standard POA, the individual granted the POA may be able to withdraw money from a bank account. However, with a durable or spring POA, the individual may not be able to withdraw money without the permission of the bank.