WHY DO YOU NEED A POWER OF ATTORNEY?

A power of attorney authorizes someone to act on your behalf.  It is very important when a person becomes ill. For example, suppose your mother or father who you care for becomes unable to manage their financial affairs.

Without a Power of Attorney signed by them when they are competent, you may not be able to access their bank accounts or transact business on their behalf. Even though everyone at the bank may know you and have seen you with her for years, they are not supposed to give you access to her account if you have no Power of Attorney and your name is not on her account. 

A wife does not have the right to get information about her husband’s benefits if he is sick and she has no Power of Attorney.  If you are trying to pay your mother’s credit card bills, the company will not even tell you what is owed or if she made any payment.

A Power of Attorney also prevents unauthorized persons from getting access to your accounts.  A Power of Attorney can be taken to the bank or to any organization that you are accustomed to doing business with.  Once in their files, the person you authorize can transact business for you but no one else. 

A Power of Attorney keeps unworthy people away from your affairs.  With identity theft so rampant, it is important to clearly state who can act for you.  Sometimes people in your own family will attempt to do things against your wishes.  If your bank has a copy of your Power of Attorney it can prevent the unauthorized access to your accounts.