The Country is in extremely disturbed financial waters at the moment. Many people are concerned for their jobs and whether they will be able to pay the mortgage. Others who are reliant on savings and investments, will have seen the rate of return plummet to almost zero. Now is a good time to take stock against the uncertainties. We all need to think ahead and plan for the future.
If savings or investments provide the major part of your income, or if you are likely to find yourself in this situation, you need to think very seriously about safeguarding your assets. If you were the subject of an accident or suffered an illness which affected your brain to the extent that you could not make lawful decisions, there could be formidable difficulties. Not only would you not be able to sign a cheque but no one else, not even your husband or wife, would be able to get access to any account in your sole name. If it was necessary to sell your house or other property then, without your lawful signature, it would be impossible to do so even if the property was in joint names. One signature would be insufficient. Imagine the problems if you needed the money quickly for example for drugs or treatment not available on the NHS or for special equipment or carers fees. If a buyer was found for your property then you would treat them like gold dust but, without the ability to sign documents, there could be a significant delay and the buyer could be lost.
Happily, there is an answer namely that you can execute a Lasting Power of Attorney. This gives power to someone else to sign documents and make financial decision on your behalf even if you lose capacity. You could also make separate directions as to your wishes in relation to any treatment you should or should not receive or where you should live. The person you appoint would be one chosen and trusted by you.
If you do not follow this simple procedure then the Court of Protection would have to appoint someone to do these things for you. It may not be the person you would have chosen yourself and they may have their own agenda as to what might be in your “best interests” rather than what you wish.
If you needed social or health services then they tend to do whatever is cheapest no matter how inappropriate you, or your family, might consider it to be. However, your written wishes could alter the situation so that your family would have ammunition to fight for something better. If the Court of Protection was involved particularly in any case involving medical treatment, your wishes would be at the core of any decision taken on your behalf.
These are matters calling for specialist legal advice and it is not wise to leave the future to chance.
Finally, if you do not have a Will then you are leaving your family in a very vulnerable position. Not only could the tax consequences be significant but you could leave family, friends or carers behind who might not respect your wishes. They might even fall out among themselves with awful long lasting consequences.
These matters take only a short time to sort out and are not as expensive as clearing up the mess afterwards.
Odonnells is a partnership of qualified solicitors regulated by the Solicitors Regulation Authority (registration number 74299) who have chosen not to limit liability to clients or the public.