The agent will decide, for example, where your money and investments will go as well as the kind of nursing home where you will stay. Simply put, your attorney-in-fact will be in charge of everything that concerns your life as soon as you become mentally incapacitated. That being said, you must make sure that you appoint someone who is worthy of your trust. These are meant to ensure that the needs of the principal is properly addressed and provided for. When preparing or creating a power of attorney, it is important to get lawyer assistance. They would be able to help you identify what type of power of attorney would be best suitable for your needs. General power of attorney The general power of attorney provides the attorney-in-fact (or agent) authority in all situations unless specified by the document. Durable powers of attorney are named that way because no additional corrections to the documents are necessary once the principal becomes mentally incapacitated. Thus, this type of powers of attorney is an enduring one since it remains in effect even if the principal is mentally incapable of making decisions for himself or herself. If you are considering getting a power of attorney, you should make sure you are appointing the right agent or attorney-in-fact (the person who would be given authority to make or execute decisions for you). One usual issue about power of attorney and appointment of agents is the way the person manages or handles finances. Principals who are physically injured, sick or mentally unhealthy are deemed incapable of giving power of attorneys. When power of attorneys are given under these circumstances, all the legal documents the agent signs or agrees to will not be honored in court and will be deemed ineffective. Also, the scope of the power of attorney will also become ineffective when the principal dies or becomes incapacitated, meaning if they suddenly suffer from an illness, physical or mental. It only means that at the same time, another person can also make choices for you so you are sharing the right to decide with your agent. For example, if you are on a business trip abroad, you can designate someone to pay your bills or do bank transactions on your behalf. Your agent will only follow your orders, so long as you are mentally capable of making decisions for yourself.