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Managing someone else's finances

If you are looking after someone who cannot manage their own finances, you may need to take on financial responsibilities for them.

This can include paying for care, managing benefits, or making financial decisions on their behalf. 

Ways to manage someone else’s finances

Becoming an appointed representative for benefits 

If the person you care for receives benefits but cannot manage them, you can become their appointee through the Department for Work and Pensions (DWP).

As an appointee, you can:

  • receive and manage state benefits on their behalf
  • make financial decisions regarding their welfare
  • ensure their benefits are used correctly

How to apply

Lasting power of attorney for long-term financial control

A lasting power of attorney (LPA) allows you to make financial decisions for someone who can no longer do so themselves.

Types of LPA

  • property and financial affairs LPA - manage bills, pensions, bank accounts, and property
  • health and welfare LPA - make decisions about medical care and daily life

How to apply

Who can grant an LPA?

  • the person must have mental capacity when they set up an LPA
  • it must be registered with the Office of the Public Guardian (OPG) before use

Court of protection - if the person cannot grant an LPA

If someone lacks mental capacity and does not have an LPA in place, you may need to apply to the court of protection to become their deputy.

what a deputy can do:

  • manage bank accounts, bills, and property
  • make financial decisions on their behalf
  • ensure their income and benefits are used appropriately

How to apply

Who can be a deputy?

Family members, friends, or a solicitor can apply.

The court of protection supervises deputies to ensure they act in the person's best interests.

Managing direct payments for someone else

If the person you care for receives direct payments, you can manage the payments on their behalf as a:

  • nominated person - if they have mental capacity but want help managing payments
  • authorised person - if they lack mental capacity, as approved by the Council

Responsibilities include

  • ensuring funds are spent correctly and in line with the support plan
  • keeping financial records and receipts
  • ensuring payroll and tax compliance (if employing staff)

For help managing direct payments, contact our Direct payments team: 020 8314 9675 or email: directpaymentteam@lewisham.gov.uk.

What if the person has debts or money problems?

If someone struggles with debt or managing finances, they may be eligible for:

  • benefits check  to ensure they receive all financial entitlements
  • debt advice services  free, confidential support

Financial help services in Lewisham

Safeguarding against financial abuse

If you suspect someone is being financially exploited, report your concerns to Lewisham Adult Social Care on 020 8314 7777.

Need more support?

If you have questions about managing someone else’s finances, contact us.

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