Wednesday, July 22, 2009

Powers of Attorney

A recent NY Daily News article explains why it's so important to have a power of attorney. No one ever expects to become incapacitated, but it happens all the time. You should choose someone you know and trust who will be able to step in and take care of your affairs if you are unable to.

New York has passed new laws that change the rules about powers of attorney. Among the new rules: if you choose to give someone the right to make money transfers of more then $500, you will have to sign a separate statement witnessed by two people authorizing the person to make such transfers.

The new law will also allow you to appoint someone to monitor the actions of the person you name as your agen in a power of attorney, providing more checks and balances.

The new law covers new agreements; existing power of attorney statements remain in effect.

The New York law provides people with more protection, but at a cost. If you choose to use a lawyer, what may have cost you $200 before could cost $500 or more.

While many people find power of attorney forms at a stationery store or online, most lawyers consider that a bad move.

“You may not be protecting yourself as adequately as you should be,” The Daily News quotes Long Island Attorney Jennifer Cona said. “This is one of the most important documents you’ll ever sign. Don’t take it lightly.”

We at Hughes Estate Group would add that every term and concept found in the new New York law designed to protect consumers is already incorporated into our comprehehsive, 40-plus page financial power of attorney.

Read the article here

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