What is a Durable Power of Attorney for Asset Management (DPA)?
A Durable Power of Attorney (DPA) is a document which allows you (the principal) to give authority to another person (your agent or attorney-in-fact) to make financial/legal decisions and to make financial transactions on your behalf. A “Durable Power” differs from a “general” power of attorney because it remains effective even if the principal is mentally incompetent. Q: Who can execute a Durable Power of Attorney? A person must be competent in order to execute a valid DPA. If there is a question regarding competency, it is a good idea to get a doctor’s letter or declaration regarding the competency of the principal at the time the document is executed. Q: Who can serve as attorney-in-fact? Any trusted person, such as a spouse, relative or friend, can serve as attorney-in-fact; it need not be an attorney. Also, there are several non-profit agencies which will fill this role. It is always a good idea to name at least one alternate attorney-in-fact to serve in the event that the first c
