Lasting Powers of Attorney are becoming increasingly important legal documents for individuals to make in their lifetime. You may have heard of Deputyship Orders and in this blog we talk about the important differences between the two.
- Mental capacity
A Lasting Power of Attorney is a legal document which allows an individual to appoint an Attorney to manage their affairs during their lifetime in the event that they became mentally incapable to do so for themselves.
A Deputyship Order on the other hand is issued by the Court of Protection and is made by an individual (known as the “Deputy”) who has put themselves forward to manage these decisions on behalf of an individual who does not have mental capacity. This would be applied for when an individual does not have a Lasting Power of Attorney in place.
- Timings
Whilst a Lasting Power of Attorney must be registered with the Office of the Public Guardian before it can be used, a Deputyship Order is issued by the Court of Protection. The timescales for their issue can vary a great deal; it is currently taking the Office of the Public Guardian 12- 20 weeks to register a Lasting Power of Attorney but the Court of Protection can take anywhere between 10 to 12 months to issue a Deputy order. Until these documents have been issued, no decisions can be made and the deputy or attorney cannot access to the persons funds.
- Cost
The registration fee with the Office of the Public Guardian is £82 per document. However, the cost of obtaining a Deputyship Order can be more expensive. A Deputyship Order requires a court fee of £371, a yearly supervision fee and an insurance bond. Also, as part of the application process a mental capacity assessment would be required (which is usually paid for privately).
- Your choice
By making a Lasting Power of Attorney, you are making the decision for yourself as to who is appointed as your Attorney. With a Deputyship Order, it is for the Court to decide who can be appointed depending on who puts themselves forward to the Court. This could result in someone being appointed whom you never intended to have that role and you would not have chosen yourself. A Lasting Power of Attorney allows you to have full control over who will be dealing with your affairs.
At Martyn Prowel Gartsides, we strive to provide first class and cost-effective legal advice to our clients. For a confidential discussion on the topic of our blog, please contact our Private Client Department on 029 2047 0909.