What Is An Unlimited Power Of Attorney?

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Unlimited Power Of Attorney - Unlimited Power Of Attorney Form - Durable Unlimited Power Of Attorney - Power Of Attorney For Financial Affairs

What Is An Unlimited Power Of Attorney?

An unlimited power of attorney is a legal document. 

This POA gives the agent the power to act on behalf of the principal.

The agent is the person you’re giving unlimited power of attorney to. 

And the principal is the person creating the unlimited power of attorney. 

Unlimited power of attorney has authority over any and all matters. 

Unlimited power of attorney gives the agent power over matters like:

  • close or open banks accounts
  • sign contracts
  • waive contractual rights
  • buy or sell stocks
  • make medical decisions
  • choose doctors
  • choose where you live
  • make gifts
  • buy insurance
  • operate businesses
  • file taxes
  • collect debts
  • manage property
  • make investment decisions

And the unlimited POA ends for reasons like:

  • the principal revokes it
  • a court invalidates it
  • the principal divorces their spouse (if they are the agent)
  • the agent can no longer carry out the outlined responsibilities

Related: What If The Executor Does Not Probate The Will

Key Takeaways For Unlimited Power Of Attorney

  • An unlimited power of attorney gives one person the authority to act on behalf of another person.
  • The agent has the authority to makes decisions about property, finances, and medical care. 
  • Unlimited POA gets used when the principal becomes incapacitated. 
  • Or, they get used when the principal cannot show up for signing legal documents. 

Related: What An Executor Cannot Do

How To Get Unlimited Power Of Attorney

There are some rules for getting an unlimited power of attorney.

  • there have to be two witnesses
  • the POA needs to be notarized

To get an unlimited power of attorney, you need to:

  • put the POA in writing (it has to be on paper)
  • use the correct forms to create your POA (ask your attorney)
  • identify your witnesses and notary (your lawyer will provide this)
  • identify the authority you want your agent to have and not have
  • specify the durability of your POA (more on this below)
  • record your POA
  • file your power of attorney so it’s valid

Related: Power Of Attorney vs Guardianship

Understanding Unlimited Power of Attorney

Unlimited POA needs to be considered when planning for long-term care. 

Unlimited power of attorney acts on behalf of the principal. 

They have authority in any and all matters that are allowed by the state. 

For example, a limited power of attorney does NOT have unlimited authority. 

The principal can limit the authority that the agent has. 

They can limit the authority to ONLY financial or medical decisions. 

But the unlimited power of attorney is only limited by the state laws. 

Related: How To File A Will

Durable Unlimited Power Of Attorney

A durable UPOA remains in control even after the principal becomes incapacitated. 

A normal unlimited power of attorney ends when someone becomes incapacitated. 

But the durable unlimited power of attorney is still intact when someone becomes incapacitated. 

Let’s assume that your mother becomes incapacitated by dementia or Alzheimers.

If you don’t have a durable unlimited power of attorney. 

You would still be able to:

  • pay her bills
  • manage her finances
  • make medical decisions
  • hire nurses to help her
  • sell her investments to pay for medical care

If you don’t have a durable UPOA, you won’t be able to do anything for your mother. 

It’s a good idea to set up a durable unlimited power of attorney when a loved one:

  • is in their elderly years
  • has potential terminal illnesses
  • wants to prepare in the event of a freak accident

If you don’t have a durable unlimited POA, then you will have to gain authority from the court. 

Meaning, you have to:

  • get proof that they are incapacitated (get a doctor’s signature that they are incapacitated)
  • schedule a court hearing
  • present your case to the court

Let’s assume that your mom got into a car wreck. 

And she goes into a coma or needs major surgery. 

You cannot make any medical decisions for her without a durable unlimited power of attorney. 

Because she is incapacitated at this point. 

You will have to go in front of a judge to request authority to make decisions.

Related: How To Get A Last Will and Testament

Getting An Unlimited Power of Attorney

Each state has different rules for unlimited power of attorney. 

You should reach out to an estate planning lawyer to get a POA created for you. 

This is the best approach to make sure your POA is created per state laws. 

Creating one on your own could lead to disaster. 

If the POA is not created correctly, the agent could have access to the wrong items.

You may not want someone who blows money to be in control of your finances. 

But you need that person to be in control of your medical decisions. 

Working with an estate planning lawyer makes sure it’s all set up correctly.

Related: Power Of Attorney vs Conservatorship

Fill out the form on this page to get your unlimited power of attorney. 

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