Are you putting off setting up a Lasting Power of Attorney for any of the following reasons?
- My husband/wife/partner will be able to do things for me if I become incapacitated?
- That won’t happen to me- the chances are too remote.
- I don’t have a family history of dementia- I should be fine.
- I am too young to be thinking about this- I’ll do it when I’m older.
- I don’t know anyone else who has one- I’ve never even heard of it so why should I need it?
- It’s too expensive- I’ll take the chance that it won’t happen to me and deal with it if it does.
These are many of the reasons we hear for people not setting up a Lasting Power of Attorney. However, if you knew what the cost of not setting these documents up was, would you think the same?
If you leave it to chance and do not set up a Lasting Power of Attorney whilst you are able to, and then you become incapacitated, your family will need to make an application to the Court of Protection on your behalf in order to look after your financial affairs….
THE COST OF APPLYING TO THE COURT OF PROTECTION:
Fees to pay immediately Annual Costs
Application to Court of Protection £385.00
Hearing Fee (if required) £500.00
Medical Fee (average) £300.00
New Deputy Assessment fee £100.00
OPG Supervision fee (general) £320.00 £320.00
Security bond (average) £300.00 £300.00
Professional Fees for preparation (average) £2000.00 +VAT
TOTAL £4320.00 £620.00
On top of this, the appointed deputy needs to keep records of every transaction and provide to the court a set of accounts every year.
A potential Deputy will also be subject to in depth scrutinisation of their own finances and will need to provide to the court a detailed explanation as to why they should be appointed and why they are the best person to fit the onerous requirements of Deputy. All this work and the Court could still refuse the application and appoint a Deputy of their own choosing.
When a Deputy is finally appointed, the Deputy will be limited to transactions of a low monetary figure (e.g. £500.00 per transaction). Any transactions over this will need a fresh court application for each and every one.
Furthermore, the Deputy may also be subjected to ongoing court visitations and reporting back to the court on a regular basis with accounts.
Do you know ANYONE, never mind a potential Deputy with this amount of time on their hands?
With this in mind…. Do you still think it is worth the risk in not setting up a Lasting Power of Attorney?
Contact us today on 0800 610 1131 for a free confidential chat.
Our team provide life planning services to clients across the North West. To find out more contact us on
0800 610 1131 or send an email