A Power of Attorney (POA) or letter of attorney is a written authorization to act on another's behalf in private affairs, business, or some other legal matter. The person authorizing the other to act is the principal, grantor, or donor (of the power), and the one authorized to act is the agent, donee, attorney, or in some common law jurisdictions, the attorney-in-fact.
Power of Attorney Types
The following table includes the POA types and the level of authorization.
|Special or Limited||Authorizes an agent to act on the customer's behalf in specific situations.|
|General||Authorizes an agent to act on the customer's behalf in a variety of situations.|
|Health Care or Medical|| |
|Durable||This type can be a General, Special, or Health Care with special durability provisions, such as grantor (customer) becomes mentally incompetent while the POA is in effect. The durability provision allows the document to stay in effect.|
|Psychiatric Advance Directives||Enables preferences for care before the patient (customer) becomes incapacitated by recurring mental illness.|
|Springing||Takes effect after the incapacity of the grantor or some other definite future act or when the power goes into effect.|
|Financial||Applies to securities broker to perform extensive investment functions on the principal's (customer's) behalf.|
|Revocation of Power of Attorney||Allows the customer to revoke a POA document.|
Cox Qualifications for Accepting a POA
- The POA must be in writing. Oral agreements are not accepted.
- The POA must indicate that it is specifically for managing the account holder's financial affairs or accounts.
Note: A medical POA is not acceptable for changes on a Cox account.
- The grantor (customer) of the POA must be the account holder for the Cox account.
- The POA must be signed by correct parties.
- The POA must include effective dates.
- The POA must be notarized.
- If the grantor (customer) dies, the POA is no longer valid.