Poa

[TheGANG]

Subject: POA's what they can and can not do?

Hi

My father has appointed 2 POA's and no longer has capacity, his wife and her daughter. It is my father who has savings. I think she has put her name on his accounts making them joint savings. She has just lent her daughter (also POA)approx. £100,000 to buy a house. Can she do this? I suspect it is out of her money, as her and my father now have a joint account. And I presume that means half the money is hers.

 

[AndyL]

Ooh, doesn't sound right to me, but I am sure someone will be along with better legal knowledge. I wouldn't think you would be able to use savings from a PWD as it may be seen as deprivation of assets further down the line should they need care.

 

[la lucia]

I think she has put her name on his accounts making them joint savings. She has just lent her daughter (also POA)approx. £100,000 to buy a house. Can she do this? I suspect it is out of her money, as her and my father now have a joint account. And I presume that means half the money is hers.

She can lend what she likes out of her own money but she can't do that from your father's money. Least of all to her daughter if the daughter is a POA. POAs are not allowed to benefit from their position.

If the local authority investigate your father's accounts in the case of financial assessment for help towards care home fees then they would view a £100,000 loan as deprivation of assets and would demand that the daughter paid it back.

When you have POA for someone then your name is on the account but that doesn't make it a joint account. So she's not necessarily doing anything wrong. My mother never separated her finances from my father's when he lost capacity.

I have POA for my mother now. My name is on the account and the cards, the cheques say my name + poa to my mother. But I have my own bank accounts for my money.

I would be very surprised if a bank allowed a new joint account so perhaps you need to establish the facts first. The best way to manage the money is for your father's half to be separated from his wife's. She could receive half of any pension income from him too.

This all sounds highly irregular but I think you probably need to tread carefully and ensure that you understand what's happening first. Finances can be a minefield in families.

If there's a problem then you can contact the Office of the Public Guardian with any concerns if it is in England.

 

[TheGANG]

My fathers care is paid for through CHC. I know his pension pays the bills at their home. She once said she needs that to pay the bills. I agree I need to find out more facts, without sounding suspicious.


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[fortune]

The attorney can only spend the PWD's money on the PWD. Attorney's absolutely cannot benefit financially. As La Lucia says this could be very tricky. I wouldn't rush to judge but I suggest that if you have serious doubts that are well-founded then the Office of the Public Guardian should be informed. If you discuss it with the wife/daughter they may be deeply offended - or suspiciously defensive - and it may be hard to tell the difference. At the end of the day I think the PWD's interests must come first. The attorney is trusted with a great deal of power and if that trust is misplaced then the OPG is there to protect the PWD.

 

[TheGANG]

Thank you for your reply. What can the POA spend money on? My dad meets CHC so he has free care currently. Upkeep of the house? A new dog? How does it work when the PWD is in a home and still owns a home?


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[Beate]

Everything that is for him like new clothes and toiletries. Insurance and repair for a house but not utility bills if he no longer lives there. What do you mean a new dog? Whose dog? Unless it lives with him in the care home I don't see how you can make him pay for a dog's expenses.

 

[TheGANG]

Does the PWD pay for all the household upkeep or half? There is a new dog and I think my dad paid for it. But it does not live with him in the care home.


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[Onlyme]

Does the PWD pay for all the household upkeep or half? There is a new dog and I think my dad paid for it. But it does not live with him in the care home.


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As Beate said

"toiletries. Insurance and repair for a house but not utility bills if he no longer lives there. What do you mean a new dog? Whose dog? Unless it lives with him in the care home I don't see how you can make him pay for a dog's expenses."