Durable Power of Attorney
Who manages your finances if you can't. What "durable" means, what your agent may do, and the duties they owe you.
Key facts
- "Durable" means the authority survives your incapacity under the governing document and state law.
- An agent is a fiduciary: they must act in your best interest, keep records, and keep your property separate from theirs (CFPB).
- A personal financial power of attorney generally ends at death; estate authority then belongs to an appointed executor or administrator.
What it is
A power of attorney (POA) is a document in which you (the principal) authorize another person (your agent, or attorney-in-fact) to act on your behalf. CFPB describes a financial POA as a tool for planning for possible incapacity and for short-term needs such as handling bills or property during a deployment.
A durable POA remains effective if you later become incapacitated; a non-durable one terminates at that point. CFPB describes a durable financial POA as an advance-planning tool, while state law controls its form and effect. Delaware's statute is 12 Del. C. ch. 49A.
Immediate vs. springing
An immediate POA is effective when signed; a "springing" POA takes effect only upon a defined event, often a certification of incapacity. Because a springing POA requires proof that its triggering condition occurred, it can delay access; the appropriate structure depends on state law and the principal's circumstances.
Your agent's duties
An agent under a POA is a fiduciary. Per CFPB guidance for financial caregivers, that means four core duties: act only in the principal's best interest, manage money and property carefully, keep the principal's property separate from their own, and keep good records. An agent who self-deals can be held personally liable.
A personal financial POA generally ends at death. Estate authority then belongs to an executor or administrator after the applicable appointment process, not to the former agent.
References
This guide is educational only and is not legal, tax, or investment advice. Laws vary by state and change over time; confirm current figures with the linked primary sources or a licensed professional in your state.
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