Giving another person or agent the authority to make financial decisions on his behalf is call a financial power of attorney. Usually, people are not so comfortable over this thought. However, a person can assess if they need of a financial power of attorney depending on their lifestyles.
There are valid reasons to consider for an issuance of a power of attorney. A need must be identified before doing this issuance. A power of attorney is a legal document that allows someone to conduct/implement business on your behalf. It must be ensured that confidence and trust to the person issued a power of attorney must be ensured. A power of attorney come in two types, the financial and medical.
A medical power of attorney must be have a obtain information on who can make medical decisions in times that someone becomes incapacitated. In times of incapacity, this person will make the decisions as you may not able to make decisions for yourself. On the other hand, legal experts advise that financial powers of attorney should not include medical information, and that the two be kept separate.
There are two types of financial power of attorney, one is the durable and the non-durable. The difference between these two must be made very clear to the person doing this. In most cases, people use the durable powers of attorney in the event that a chronic illness is going to become involved in the future when it be foreseen that such illness can be disruptive to the person.