A Durable Power of Attorney is an important document which allows the executor to transfer authority to other person called agent or attorney-in-fact, to undertake and execute legal as well as financial dealings on your behalf. It is known as durable because it remains in force even when the principle (the person who executed the attorney) becomes physically or mentally unstable.
The agent in whose favor durable power of attorney is done need not be an attorney himself, he can be a partner, friend or an adult known to the principal can serve as the attorney-in-fact. Also there are many non profit organizations that can complete this role efficiently. It is always a good idea to have an alternate principal too which can serve as a backup should your main alternate attorney-in-fact becomes in-effective, disabled or even if he/she dies. Whosoever you choose as attorney should have your ample authority and should be sensitive to your desires.
The functionality and power you give to your attorney-in-fact via Durable Power of Attorney can be as vast as you like them to be. He can buy a house, property, even invest or enter into contracts .etc.
The DPA comes into force on the day it is signed. This would mean that though you may be competent to take whatever decisions you like, yet your attorney-in-fact can duly act on your behalf and engage in any type of financial transactions.
A Durable Power of Attorney is a simple and easy method for authorizing another person to take care of you financial and legal affairs. Unlike a joint tenancy bank account, which is used by people as a management mechanism in the even of inability of the major person to act, the DPA does not give him powers to or legal access for his or her own use. He must use your assets and property to effectively increase your profits.