What is a durable financial power of attorney?

A durable financial power of attorney (DPFA) is an important part of Estate Planning in North Dakota and is commonly used in Elder Law situations. A durable power of attorney is a legal document that allows an individual to appoint another person (the “attorney-in-fact”) to manage their financial affairs in the event that they become incapacitated or unable to manage their own affairs due to age, illness, accident or any other situation. With a DPFA, you can choose any person you wish to act as your attorney-in-fact, such as a family member, close friend, financial advisor, or attorney. The power of attorney grants the attorney-in-fact the authority to make financial decisions on your behalf, such as filing taxes, paying bills, handling investments, and managing any other financial responsibilities you may have. The DPFA document also includes instructions regarding how the attorney-in-fact should manage your finances. For example, you can specify which assets the attorney-in-fact should be allowed to access, or you can provide guidelines for how your assets should be managed. You can also include a succession plan, which outlines who should take over managing your finances in the event of the attorney-in-fact’s death or incapacitation. While a DPFA is an important tool for protecting your assets in the event of incapacity, it is important to note that it does not grant the attorney-in-fact any authority to make decisions regarding your healthcare or other personal matters. To do this, you will need to create a separate healthcare proxy or living will document.

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What is a durable financial power of attorney?

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