Detailed answer

Under Georgia law, a properly executed financial power of attorney (POA) lets you name an agent (sometimes called an attorney-in-fact) to act with regard to your property and financial affairs. The scope of what that agent can do depends primarily on two things: the language you put in the document, and whether the POA is durable (remains effective if you become incapacitated).

Georgia follows the state’s power-of-attorney statute framework (see OCGA Title 10, Chapter 6B). That framework permits a wide range of financial powers when granted by the principal. Typical powers you can give an agent include:

• Banking transactions: access bank accounts, deposit and withdraw funds, endorse checks, open and close accounts.
• Bill paying and cash management: pay recurring bills, manage household expenses, collect income (wages, Social Security, pension, rent).
• Investment decisions: buy and sell stocks, bonds, mutual funds, and manage investment accounts if you expressly authorize this power.
• Real estate transactions: buy, sell, lease, mortgage, and manage real property if the POA specifically grants real estate authority.
• Tax matters: prepare, sign, and file tax returns; handle audits; receive tax information; and represent you before tax authorities when the POA explicitly authorizes it.
• Business interests: operate or wind down a business, sign contracts, and access business accounts if the POA grants such authority.
• Estate planning and trusts: create, modify, or revoke trusts or make gifts on your behalf—but gifting or creating/revoking trusts often requires clear, express language in the POA to avoid limits or third-party refusal.
• Insurance and benefits: apply for, continue, or terminate insurance policies and manage benefit claims when authorized.
• Access to records: obtain financial records, medical billing records related to finances, and other documents necessary to manage your affairs.

Important limits and practical rules under Georgia law:

• Durability clause: a POA must include language saying it remains effective if you become incapacitated (a “durable” POA). Without that language, most POAs end upon your incapacity.
• Express authority for certain acts: Some high-risk actions—like making gifts, changing beneficiaries, creating or revoking trusts, or delegating authority—should be expressly authorized in the document. Many financial institutions will require those powers to be spelled out.
• Agent duties and standards: Georgia requires agents to act in good faith, in your best interest, and according to any directions you provided. Agents owe fiduciary duties like loyalty, care, and recordkeeping.
• Termination events: A financial POA generally ends at death. It can also end by revocation (you can cancel it while competent), a specified expiration date, or a court order. If you become subject to a guardianship or conservatorship, the court-appointed fiduciary’s authority may supersede the agent’s authority.
• Third-party acceptance: Banks, brokers, and other third parties can set their own rules before accepting a POA. They may ask for an original, notarization, witnesses, or a certification from the agent. If they refuse, you may need a court’s help.

If you become unable to manage your finances and you have a durable POA, an agent with properly granted powers can step in and handle daily money matters, manage investments, and deal with real estate and tax issues, so long as the tasks fall within the authority you granted. If you want the agent to act only after a certain event (for example, after a physician declares you incapacitated), use clear “springing” language describing the medical standard and who makes the incapacity determination. Springing POAs can cause delays because institutions often require proof of incapacity.

For the controlling law, see OCGA Title 10, Chapter 6B (Power of Attorney). You can review the Georgia code and statutory language at the Georgia General Assembly website: https://www.legis.ga.gov/ (search the Code for “Title 10” and “Chapter 6B”).

When the POA might not be enough: If institutions refuse to follow the agent’s directions, if the POA is unclear, or if there is suspected abuse or fraud, you or your loved ones may need to pursue a court-supervised conservatorship/guardianship to give someone authority to manage finances. Conservatorships involve court oversight and can be costly and time consuming, so a well-drafted POA can often prevent that necessity.

Practical example (hypothetical): You sign a durable financial POA giving your agent authority to manage bank and investment accounts, pay your bills, handle tax matters, and sell real estate. Later, after a serious stroke, you lose decision-making capacity. Because your POA is durable and clearly lists those powers, your agent can provide banks with the POA, access your accounts to pay care providers, sell a property if needed to pay debts, and file tax returns—without first getting court approval—assuming institutions accept the document.

Note: This article explains general principles. Your specific situation can vary depending on the form language, the powers you grant, and third-party practices.

Helpful hints

• Choose an agent you trust. Name successor agents in case your first choice is unavailable.
• Use clear, specific language for any high-risk powers (gifting, trust changes, creation or revocation of trusts, business operations, real estate sales).
• Make the POA durable by including explicit language that it remains effective if you become incapacitated.
• Consider whether you want a springing POA (effective upon incapacity). If so, clearly define who and how incapacity will be determined.
• Have the document properly executed. Many institutions require notarization and some recommend or require witnesses. For real estate transactions, recording or additional formalities may be necessary.
• Provide copies to banks, investment firms, and your agent. Keep the original in a safe, accessible place.
• Keep written instructions for your agent about preferences, recurring payments, and bills to avoid mistakes.
• Require regular accounting: ask the agent to keep records and provide periodic statements to a trusted family member or advisor.
• Review and update your POA periodically, especially after major life events (marriage, divorce, move, death of agent, changes in finances).
• If a third party refuses to accept the POA, get legal advice promptly. Sometimes a certification, additional documentation, or a short court proceeding is required.