Do I Risk Losing Control Over My Assets During My Lifetime or Upon Death?

Squiggle Support Team

Last Update 2 months ago


Note: The following article is part of our Complimentary Articles Series, designed to provide additional insights and detailed information on specific topics within estate planning.


Alongside this article, we suggest exploring our pillar articles for a comprehensive understanding of general legal issues related to estate planning.


  • How Long Does a Lasting Power of Attorney Last?
  • At What Age Should I Consider a Lasting Power of Attorney?
  • What is the Difference Between the Court of Protection and a Lasting Power of Attorney?




INTRODUCTION


In estate planning, having control over your assets is essential for ensuring not just how they are distributed after your death but also how they are treated throughout your life.


Life is full of change, and your assets and circumstances will change along with it. Understanding this frequent change will help you make better estate planning decisions, know what tools to implement to protect your Estate, and ensure your loved ones are taken care of according to your instructions after you pass away.


This article explores how you can ensure you maintain control of your assets both during your lifetime and after your death, highlighting the legal mechanisms to ensure that protection.




CONTROL OF ASSETS WHILE YOU ARE STILL LIVING


Lasting Power of Attorney

If you lose the capacity to make decisions due to an accident, illness or other circumstance, you can draw a Property & Finance Lasting Power of Attorney (LPA).


This type of LPA guarantees that someone you trust will manage your assets in your best interests if you cannot make decisions for yourself.


If you don't have an LPA, the court can designate a Deputy who could transfer authority outside of your preferred circle. However, this is a more complicated and expensive process.


To learn more about LPAs and Deputyship Orders, please read our related articles.




ENSURING CONTROL OVER YOUR ASSETS AFTER YOU DIE


When you pass away, your assets are distributed in accordance with the instructions in your Will or, if a Will doesn't exist, the laws of intestacy. Here's how it works:


  • When You Have a Will: Your Will gives you authority over how your assets are distributed and guarantees that your instructions are carried out. This distribution of assets is overseen by your appointed Executor(s), who are required to follow your instructions as outlined in the document.


  • When You Don't Have a Will: If you die without leaving a Will, the laws of intestacy will determine how your assets are divided. However, you should be aware that, in this case, the distribution of assets may not reflect your actual preferences scenario, and the law decides who inherits your assets. Essentially, you will lose control over how they are distributed.




RECOMMENDED STRATEGIES FOR ENSURING CONTROL


To keep control over your assets both now and in the future, we highly recommend the following steps:


  • Set up a Property and Finance LPA to ensure peace of mind that your designated Attorneys will manage your affairs in the event of incapacitation.


  • Write a Will specifying how you wish your assets to be distributed after you pass away.




Need to know more?

Book a callback, and we'd be happy to arrange a no-cost, no-obligation discussion with you to lay out the options available.


Alternatively, call us on 01233 659 796.


Or reach out to us here.


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