To many they would prefer not to the risk of granting the power of attorney to a person. The issue here is not how well you are sure of some for there have been instances where a person abused the power of attorney granted him.
The sad part is that one can never be sure and this makes it very difficult to appoint an agent to take decision on your behalf by way of a power of attorney. The term for the appoint person an attorney-in-fact or agent. In the power of attorney no one is absolutely sure if the interest is protected.
The idea behind granting a person the power of attorney means the person with your permission is acting as you. They can anything you do such as taking decisions, authorizing and signing. And this is what makes it very risky. As a precaution measure some have hidden money in private foreign accounts and ensure that the attorney-at-fact has no knowledge of it. This course of action is sure to fail for the attorney-in-fact has the power to request for all financial info you have as well as all you tax information. In no time the money is located.
There are lot is thing you have to consider before you appoint an attorney-in-fact but the major concern is the money could be stolen from you. The agent has the power to make and take decisions on your behalf and this may include the buying and selling of assets and stocks, all forms financial investments and the giving of gifts. In this regard it is possible for you agent to make and take a wrong decision and maybe invest wrongly thereby resulting in substantial loses and the end result could be your going bankrupt.
Be sure that your agent has meeting regularly with trusted financial professionals most especially if you have investments and stocks. They can not prevent the entire agent’s wrong decision but you can be sure that a qualified trader can surely stop things from really going out of hand.
You are politically incline you want to consider is you agent can vote whenever the need arises on your behalf. If you have the belief that this at some point this will become an issue it would do you well to have to appoint an agent that has the political bearing with you.
It is rather sad to know that all you can do is reduce the risk to the lowest minimum but it is impossible to absolutely prevent it. Try and make a wise decision regarding who you appoint as agent and be sure to inform all your family and friends. And if they in turn have any reason to suspect the actions of the agent as being illegal they can with the aid of lawyer revoke the power of attorney.
You would want to note that most of the agents will definitely act in line with your wishes and desire and you can be sure that they have at heart your full interest. Yes as true as that may be no one is ever sure of everything. So you have to tread with caution and be very whilst choosing an agent.