User:Peculiar Investor/Power of attorney

A power of attorney is a legal document that you sign to give one person, or more than one person, the authority to manage your money and property on your behalf. In most of Canada, the person you appoint is called an “attorney.” That person does not need to be a lawyer. The names and requirements for the different types of powers of attorney that deal with finances and property will vary depending on the province or territory where you live.

Many Canadians have a power of attorney drawn up by a lawyer. Financial institutions may also have their own forms to appoint an attorney to make decisions about a specific account or property that you have with that institution. If you already have your own power of attorney that gives your attorney authority over all of your financial affairs, including accounts with that financial institution, it likely isn’t necessary for you to sign the bank’s form, but it may be more convenient.

Types of power of attorney
Generally, there are two main types of powers of attorney commonly used for finances and property in Canada: a general power of attorney; and enduring or continuing power of attorney.

General power of attorney
A general power of attorney is a legal document that can give your attorney authority over all or some of your finances and property. It allows your attorney to manage your finances and property on your behalf only while you are mentally capable of managing your own affairs. It ends if you become mentally incapable of managing your own affairs.

A general power of attorney can be “specific” or “limited”, which can give authority to your attorney for a limited task (e.g. sell a house) or give them authority for a specific period of time. The power of attorney can start as soon as you sign it, or it can start on a specific date that you write in the document.

Enduring or continuing power of attorney
An enduring or continuing power of attorney is a legal document that lets your attorney continue acting for you if you become mentally incapable of managing your finances and property. It can also give your attorney authority over all or some of your finances and property. An enduring or continuing power of attorney can take effect as soon as you sign it. In some cases, it is possible to have the power of attorney come into effect only when you become mentally incapable, if this was specified in the document.