Why students should sign a power of attorney form

University is a critical turning point for any individual as they come of age, and while it brings independence, it also comes with responsibilities. Among these responsibilities is the need to ensure your affairs are in order should unforeseen circumstances arise.

Here’s where the power of attorney form steps in as a potential safeguard. Creating a new document or replacing an old power of attorney can help your son or daughter get through their university years and give you peace of mind. The same can be said for students. Allowing your parents to stay in charge of your affairs can make it easier for you to concentrate on your studies.

Keep reading to find out all there is to know about power of attorney (POA) forms and what their benefits are for uni students.

What is a power of attorney

In the intricate legal system of the UK, a power of attorney is a legal commitment where one individual, termed as the ‘donor’, entrusts another, the ‘attorney’, to make decisions on their behalf. This isn’t a one-size-fits-all scenario; there are distinct types designed for varying needs.

Many times a power of attorney is created for ill parents or siblings, but having your child sign authority over to you can be a huge help during their university years.

The ordinary power of attorney (OPA) is ideal for temporary situations. For example, imagine a student taking time off or travelling for a semester exchange; they’d require someone to oversee their affairs, be it academic or financial, in their absence.

On the other hand, the lasting power of attorney (LPA) delves deeper and is bifurcated further. The property and financial affairs LPA grants the attorney with the authority to make financial decisions. This could span from overseeing bank transactions to even selling a property. In contrast, the health and welfare LPA gives the attorney the right to make more personal decisions, such as those related to medical treatments or daily care.

Benefits of power of attorney forms

Understanding what POA forms is crucial, but it’s also essential to understand why you should create one for your son or daughter to sign in the first place.

Below you can read about some key benefits of having your 18-year-old or older child sign a power of attorney form.

1. Security and Peace of Mind: By creating a power of attorney form, a student can be assured that if they cannot make decisions for themselves, someone they trust will do it for them.

2. Financial Management: University life can be busy, with new experiences and challenges. Having a trusted individual manage certain financial aspects can be a great relief.

3. Avoiding Legal Hurdles: In the absence of a power of attorney, if a student becomes incapacitated, family members might face legal challenges when trying to step in and manage affairs.

4. Customised Control: The student can specify which decisions they’d like the attorney to make and under which circumstances.

How it can help your child as a student

While you may just think the previous benefits are useful when it comes to estate planning, a power of attorney can be especially helpful for students in the following ways:

1. Study Abroad and Travelling: If a student goes on a study abroad programme or a lengthy trip, they might need someone to manage their financial matters back home. This could include paying rent or handling university fees.

2. Medical Emergencies: Unforeseen health issues can arise anytime. In situations where a student cannot communicate their health decisions, an LPA focused on health and welfare can be a lifesaver.

3. Academic Decisions: Should there be significant decisions related to their academic journey that need to be made during a time they can’t, a power of attorney can step in.

Who are power of attorney documents best suited for

As a parent, you may completely trust your student, and want them to be independent. However, some would benefit more than others when it comes to financial or healthcare decisions.

The following groups of students are likely most in need of signing a power of attorney:

1. Students with Chronic Illnesses: Conditions like diabetes or epilepsy can sometimes lead to situations where the student cannot make decisions for themselves. In these cases, having a power of attorney can provide reassurance.

2. Students with Mental Health Concerns: Students battling depression, anxiety, or other mental health issues can benefit from having someone they trust to oversee certain decisions.

3. Financially Burdened Students: Those who struggle with their finances or have significant financial responsibilities might find it useful to have someone manage their financial affairs, especially during challenging periods.

4. International Students: Often away from their home country, international students might need someone locally to handle certain aspects of their lives.

How to get the document

If you decide to go ahead and create the document, the first step is choosing an attorney in your area.

For an LPA to be used, it’s imperative to register it with the Office of the Public Guardian. Though this involves a fee, students might qualify for reductions based on certain criteria.

In conclusion, signing a power of attorney form provides an added layer of security during the unpredictable university years. By preparing for the unforeseen, students can focus on their academics and personal growth, knowing they’ve taken steps to safeguard their future.