Why Appointing a Power of Attorney is So Important

Having a Power of Attorney (POA) in Alberta is important because it ensures that someone you trust can make financial and legal decisions on your behalf if you become unable to do so due to illness, injury, or absence (if you are away for an extended period, traveling or living abroad).

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Here are the key reasons why it's essential at any age!

1. Protects Your Financial Affairs

A POA allows your chosen representative ("attorney") to manage your bank accounts, investments, property, and bills if you’re unable to handle them yourself. This prevents financial problems if you become incapacitated.

2. Avoids Expensive and Lengthy Court Processes

Without a POA, if you lose the ability to make decisions, your family or friends may need to go to court to get permission to handle your affairs. This can be costly and time-consuming. A POA simplifies the process by giving authority to someone in advance.

3. Ensures Someone You Trust is in Charge

If you don’t have a POA, the court may appoint someone to manage your affairs, and that person may not be someone you would have chosen. A POA lets you choose someone you trust to act in your best interests.

4. Helps with Business and Property Management

If you own a business or property and are away for an extended period (e.g., traveling or living abroad), a POA allows someone to handle transactions, sign documents, and keep things running smoothly in your absence.

5. Covers Unexpected Incapacity

Medical emergencies, such as a stroke or accident, can leave you unable to communicate or make decisions. A POA ensures that someone you trust can step in immediately.

Types of Power of Attorney in Alberta

General Power of Attorney (POA) – Covers financial and legal matters but is only valid while you have mental capacity.

Enduring Power of Attorney (EPA) – Remains valid even if you become mentally incapacitated. *It’s very important to get this type of POA for long-term planning!

Without a POA, your loved ones may have to apply for guardianship or trusteeship through the Alberta courts, which can be a complicated, costly, and time-consuming process.