When should a power of attorney become effective?

Question

I am trying to decide whether my power of attorney should be effective immediately or only if I become incapacitated. On the other hand, I have heard that a springing power can create delays because a bank may require proof that the triggering condition occurred. How do people usually weigh convenience, privacy, and the risk of abuse when choosing when the authority begins?

Soradin · Accepted Answer

Some begin immediately and others begin after incapacity, with different convenience and verification concerns. As part of the legal review, a financial power of attorney authorizes an agent to handle specified financial matters. As part of the legal review, a durable document is designed to remain effective during incapacity, while the exact powers, start date, and acceptance rules depend on state law and the document. Save copies alongside your other important paperwork, so the people who may need them know where they are located.

When should a power of attorney become effective?

Soradin

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