Information on a Durable Power of Attorney

Designating a durable power of attorney is a good way to protect your interests if you become incapacitated.

A durable power of attorney is when you grant another person -- a spouse, an adult child or other trusted adviser -- the right to act on your behalf in financial matters. Durable power of attorney is different than nondurable power of attorney or medical power of attorney.

Durable vs. Nondurable Power of Attorney

A nondurable power of attorney is used in situations when a single transaction needs to be made on behalf of another person, such as the sale of a car or when a person is traveling and unable to complete the transaction. A durable power of attorney is a comprehensive legal document allowing someone else to act on your behalf in all financial and legal affairs until the power is revoked or you die.

When To Designate a Durable Power of Attorney

You should designate a durable power of attorney when you are diagnosed with a chronic or debilitating illness that will affect your ability to make decisions in the future. You can write your durable power of attorney, so it can take affect at a later date, such as at a particular age or when a doctor declares you no longer competent.

Medical Power of Attorney

A medical power of attorney is different from a durable power of attorney. A medical power of attorney grants someone the power to made medical decisions for you if you become incapacitated. The Today's Caregiver website recommends that you separate your medical and financial powers of attorney to avoid conflicts of interest.

References

• FindLaw: ABA Family Legal Guide-Durable Power of Attorney
• Caregiver: Financial Power of Attorney-Who Needs One