Shopping Cart
Your Cart is Empty
Quantity:
Subtotal
Taxes
Shipping
Total
There was an error with PayPalClick here to try again
CelebrateThank you for your business!You should be receiving an order confirmation from Paypal shortly.Exit Shopping Cart

My Blog

Blog

What are the Risks of a Power of Attorney?

Posted on July 5, 2022 at 4:25 PM

What Is a Power of Attorney? What Are the Risks of a Power of Attorney?


 

A power of attorney (POA) can be a useful tool in many situations, but you need to know the

dangers of having a POA or being named as the agent in someone else’s POA. The person who

creates and signs a power of attorney is the grantor or maker of the POA. The individual the

grantor names to act on behalf of the grantor is the agent.

You will want to talk to a Missouri estate planning attorney if you are thinking about signing a

POA or if someone asked you to serve as their agent in their POA. I will be happy to answer

your questions and draft your POA or provide legal guidance if you are the agent in someone

else’s document.


A Quick Overview of a Power of Attorney

A power of attorney is a legal document that gives authority for one person (the agent) to act

as directed for another person (the grantor). Only the grantor can create the POA. Someone

else cannot create a POA that gives them the legal power to take your control away from you.

Making a power of attorney is always a voluntary decision, and you can revoke a POA at any

time as long as you still have legal capacity. If you have the mental and legal capacity to create a

POA, you have the right to revoke the paper as well. The level of capacity required to make and

sign a POA is the same as for entering into a contract or signing a will.

With the POA, your bank and other financial institutions will allow your agent to do the things

that you specify in the POA, the same as if you were there in person to make those

transactions.


Short-Term POAs

One of the most common uses for a short-term POA is to empower someone else to attend and

sign documents for you if you will not be available to attend a real estate closing. The POA will

contain specific terms that limit what your agent (not your real estate agent, but the person

you name in the POA) is allowed to do.

The POA will expire soon after the closing. The person who serves as your agent signs the

closing documents in your name, with the deed, title, and other papers being for your benefit,

not the benefit of the agent. The agent is not allowed to take any actions other than those

specified in the POA.

With a POA, you will not have to cancel your vacation or reschedule the closing. You can truly

have your cake and eat it, too. You can go ahead with your travel plans and buy the house of

your dreams.

 

Long-Term POAs

There are two main categories of long-term POAs – medical and financial. A medical power of

attorney lets you decide who will make decisions for you or follow your instructions if you

become incapacitated. A financial POA, also called a general power of attorney, empowers

someone to handle your financial matters if you become unable to do so or if you would rather

not be bothered with money management.

These POAs need to be “durable,” which means that they are still valid if you become

incapacitated. You could have a POA that is not durable, but you should talk with a lawyer

about whether that document will meet your needs.


The Danger of Having a POA

One of the greatest risks of giving another person the legal authority to handle your money or

other assets is that they might use the POA to steal from you. Trust is one of the most crucial

factors in entering into a POA.


The Risk of Serving as Someone’s Agent Under a POA

Sometimes, an agent can be personally liable for actions taken under a POA. You do not want to

get accused of mishandling someone else’s money. Honest mistakes are seldom grounds for

personal liability, but gross negligence that causes financial harm to others could lead to a

lawsuit.

A Missouri estate planning attorney at the Faulstich Law Firm can answer your questions about

powers of attorney and draft the document for you or review a POA someone has asked you to

sign. Also, we can provide guidance on how to fulfill your duties as an agent under someone

else’s power of attorney.

Categories: None

Post a Comment

Oops!

Oops, you forgot something.

Oops!

The words you entered did not match the given text. Please try again.

5691 Comments

Reply audiamorous
12:39 PM on November 27, 2022 
miami heat kendrick nunn jersey flower print one piece dress nba snapbacks mitchell ness chargers burgundy gold jordan 1 82nd airborne baseball caps
audiamorous http://www.audiamorous.net/
Reply rotimpex
6:50 PM on November 27, 2022 
blush rose gold bridesmaid dresses fila disruptor 2 iridescent washington nationals new era mlb b dub 59fifty cap ball gown amazon coach f30550 medium charlie backpack black
rotimpex http://www.rotimpex.com/
Reply torilsdesign
1:38 PM on November 28, 2022 
javier hernandez west ham jersey for cheap kansas city royals all star game hat company nike air max 270 mens red pandora moments snake chain slider bracelet chargers 50th anniversary jersey cincinnati reds floppy hat zone
torilsdesign http://www.torilsdesign.com/
Reply daileen
3:50 PM on November 28, 2022 
stan smith hulk thor black fila chunky trainers liane moncler abbey mk backpack green and white striped polo wedding pantsuit for bride plus size
daileen http://www.daileen.net/
Reply lauramaze
4:02 PM on November 28, 2022 
how to clean pandora charms pandora disney murano glow in the dark happy feelings midi dress air jordan 6 white red for cheap how to make a pom pom for a knitted baby hat measurements nike maurkice pouncey 53 men game pittsburgh steelers white nfl jersey sale
lauramaze http://www.lauramaze.com/
Reply easycarup
7:15 PM on November 28, 2022 
nike air max day 2021 womens black moncler coat with fur hood kd v womens all red 97 air max yellow venus jean dress
easycarup http://www.easycarup.com/
Reply Zakpew
8:40 PM on November 28, 2022 
trazodone cost canada
Reply selenabil
9:03 PM on November 28, 2022 
michael kors mott pebble leather phone crossbody wallet linen cocoon dress rainbow heart pandora charm gustafsson erik 56 jersey for cheap texas rangers fishing hat chart reebok boots shoes
selenabil http://www.selenabil.com/
Reply ambzsalon
9:36 PM on November 28, 2022 
ray ban 3947v 2501 messi argentina away jersey mini bracelet beads high stiletto boot best slim iphone 11 pro case long gold silk dress
ambzsalon http://www.ambzsalon.com/
Reply sealtemporda
4:42 AM on November 29, 2022 
jalen ramsey jaguars jersey maria b party wear with price ducati polo north face 2 in 1 polo ralph lauren men beanie ray ban round glasses tortoise shell
sealtemporda http://www.sealtemporda.net/
Reply yeezy boost 350
1:31 PM on November 29, 2022 
My husband and i have been happy that Raymond could deal with his basic research through the precious recommendations he discovered out of your blog. It's not at all simplistic just to always be freely giving tips and tricks other people could have been trying to sell. We remember we need the website owner to appreciate for this. The specific illustrations you made, the easy website menu, the relationships your site give support to engender - it is many amazing, and it's making our son in addition to our family imagine that the idea is enjoyable, and that's truly pressing. Many thanks for the whole thing!
yeezy boost 350 http://www.yeezy350boost.us.com
Reply palm angels outlet
3:16 PM on November 29, 2022 
I am commenting to make you know what a really good experience our child gained reading through your blog. She figured out lots of things, including what it's like to possess an awesome giving mood to get men and women completely comprehend several multifaceted things. You truly did more than our expectations. Thank you for delivering those valuable, safe, edifying not to mention fun thoughts on this topic to Sandra.
palm angels outlet http://www.palmangels-outlet.com
Reply yeezy boost 500
2:21 AM on November 30, 2022 
I as well as my buddies came looking at the great helpful hints on the website and so quickly got a terrible suspicion I had not thanked the blog owner for those techniques. All of the women became for this reason glad to see all of them and have now honestly been tapping into these things. Appreciate your indeed being so considerate and for finding such marvelous areas millions of individuals are really needing to discover. My personal honest apologies for not expressing gratitude to you earlier.
yeezy boost 500 http://www.yeezy-500.us.com
Reply DavisNeisp
3:09 AM on November 30, 2022 
viagra 100mg cost in usa
Reply jordan 12
8:12 PM on November 30, 2022 
I wish to show thanks to this writer just for bailing me out of this particular instance. Right after searching throughout the the net and coming across views which are not pleasant, I assumed my life was gone. Being alive without the presence of answers to the problems you have sorted out all through your entire blog post is a serious case, as well as ones which could have badly affected my entire career if I hadn't noticed the website. Your primary competence and kindness in controlling everything was crucial. I don't know what I would've done if I hadn't come across such a solution like this. I'm able to now look ahead to my future. Thanks for your time very much for the expert and amazing guide. I won't hesitate to recommend the website to any individual who will need direction about this matter.
jordan 12 http://www.jordan12.us.com
Reply golden goose outlet
10:05 PM on November 30, 2022 
I want to point out my affection for your generosity for men and women who really want guidance on this particular topic. Your personal dedication to getting the solution all-around became exceptionally helpful and has helped somebody like me to attain their endeavors. Your own valuable tips and hints entails a lot a person like me and far more to my peers. Thanks a ton; from all of us.
golden goose outlet http://www.goldengoosesstore.com
Reply curry 8
2:59 AM on December 1, 2022 
I needed to put you the little bit of word to help thank you so much the moment again on your magnificent opinions you've shown here. It's really seriously open-handed of you to present easily exactly what a few individuals could have supplied for an e book to generate some bucks for themselves, most importantly since you could have done it if you considered necessary. The tricks as well worked to become fantastic way to recognize that many people have similar passion like my personal own to know the truth a little more on the subject of this matter. I am certain there are numerous more pleasant instances ahead for individuals that looked over your website.
curry 8 http://www.curry-8.us
Reply bape shoes
4:18 AM on December 1, 2022 
Thank you for all of your hard work on this website. Ellie really loves doing internet research and it's obvious why. My partner and i hear all concerning the lively form you present informative strategies through this website and in addition foster participation from others on that area of interest plus our favorite simple princess is in fact studying a lot of things. Take advantage of the rest of the year. You are always doing a splendid job.
bape shoes http://www.bape-stas.com
Reply supreme clothing
11:17 AM on December 1, 2022 
My spouse and i have been quite more than happy that Michael could carry out his studies from your ideas he was given from your web site. It is now and again perplexing to just always be giving away concepts which often some other people have been making money from. Therefore we take into account we need the blog owner to give thanks to for that. The specific explanations you've made, the straightforward site navigation, the relationships your site help instill - it's all incredible, and it's leading our son in addition to our family feel that this article is entertaining, and that is extraordinarily indispensable. Many thanks for all the pieces!
supreme clothing http://www.supremeclothingstore.com
Reply cheap jordans
12:35 PM on December 1, 2022 
I wanted to type a simple message in order to thank you for these amazing tactics you are writing on this website. My particularly long internet lookup has at the end of the day been recognized with awesome facts to write about with my family members. I 'd claim that we site visitors are undoubtedly lucky to dwell in a really good community with many brilliant people with insightful secrets. I feel really lucky to have come across your web pages and look forward to plenty of more awesome moments reading here. Thanks again for all the details.
cheap jordans http://www.shoesjordan.us.com