A durable power of attorney aids in financial support during incapacity.
Getting financial power of attorney in New Mexico enables one to check deposits, tax filing, or property transactions.
It grants trusted individuals (agents) specific authority to act on your behalf.
Here’s how to make one in New Mexico.
What Types of Power of Attorneys Are Available in New Mexico?
In New Mexico, you can create two essential types of durable POAs: a financial POA for business matters and a health care POA, which is part of an “advance health care directive.”
These documents are crucial for unexpected situations in your estate plan.
What Are the Legal Requirements of a Financial POA in New Mexico?
For your POA to be valid in New Mexico, it must meet certain requirements.
Mental Capacity for Creating a POA
The person creating a power of attorney must have sound mental capacity, which New Mexico courts may interpret differently.
If unsure, consult a lawyer when assisting someone with a POA.
Though not mandatory in New Mexico, notarizing your POA is highly advisable.
Notarization lends credibility to your document, and many financial institutions may request it for acceptance, even if not required by state law.
Steps for Making a Financial Power of Attorney in New Mexico
1. Create the POA Using a Statutory Form, Software, or Attorney
In New Mexico, you can create a POA using a statutory form, use user-friendly software like WillMaker, or consult a lawyer. The process involves granting broad powers or specifying certain ones.
Your New Mexico POA is typically durable unless it states otherwise.
2. Sign the POA in the Presence of a Notary Public
As mentioned above, in New Mexico, you should have your POA notarized.
3. Store the Original POA in a Safe Place
After creating the POA, keep the original in a secure yet accessible place and inform your loved ones of its location.
In case of incapacity, your attorney-in-fact may require the original POA for action.
4. Give a Copy to Your Agent or Attorney-in-Fact
Provide a copy of the power of attorney to your agent to ensure they are acquainted with its content.
5. File a Copy With the Land Records Office
If you granted your agent the power for “real property” in the POA, consider filing a copy at the county clerk’s land records office where you own or expect real estate dealings.
This way, your agent’s authority for real estate transactions will be recognized when needed.
6. Consider Giving a Copy to Financial Institutions
Distribute copies of your durable financial POA to banks and relevant institutions your agent may have to interact with, which can simplify the process for your agent when utilizing the POA.
Who Can Be Named an Agent or Attorney-in-Fact in New Mexico?
You can legally choose any competent adult as your agent, but consider factors like trustworthiness and location.
New Mexico permits co-agents but it’s best to have one to avoid conflicts. Naming a successor agent is wise for a backup plan.
When Does My Durable Financial POA Take Effect?
By default, your POA is in effect immediately unless specified otherwise.
You can set conditions, like a doctor declaring incapacity, for activation, but it’s often not recommended.
When Does My Financial Power of Attorney End?
A power of attorney terminates at your death. A durable POA can also end if you revoke it while mentally competent, no agent is available (unless a successor is named), or a court invalidates it.
In New Mexico, if your spouse is your agent, the designation ends when divorce is filed, but the POA remains intact with a successor agent taking over if named.