Ok my sister is poa of my mother, my mom lives in a living house. We have plenty of money right now to take care of mom, but my question is this, my mom has 2 CDS and has beneficiaries on them, those are to go to those people when something happens to my mom. Can my sister cash those out? And add the money to my mom's care? But remember we have plenty of money already for her care
thanks
I, personally, think that it is in poor taste to worry about beneficiaries when someone is still living, it says people care more about the money then the person.
Now, the POA may say that the Sister cannot change the POD on some accounts until that money is the sole money left to pay for her care, and cannot cash them in until that time. The POA can say anything that the principle appointing POA/conferring POA onto another wishes it to say. And this need not be shared with anyone at all.
If your sister is gathering money in accounts into other investments she feels (rightly or wrongly) are better investments, she is able to, but were she to put HERSELF on all those account she could be considered to be enriching herself. Now you are talking court action and all the money that puts up the Lawyers' coat sleeves. When the Mom passes the money will be in the hands of the executor your Mom appointed. That may be your sister or anyone else. That person will divide the remaining money as directed.
How much better it would be if siblings got along. Because if they do not, and do not honestly speak and share in the care and responsibility it is an impossible situation. But, hey, a Lawyer's got to live!
If you want to check for certain in your own area then do attend an elder law attorney about this question. It will take less than an hour of your time to get a few questions answered. Wishing you good luck.
If there was enough money, I see no reason to cash them in at this point but maybe sis had a good reason. Maybe she found she could make more money having the CDs someplace else. She really does not need to answer to you. As POA she really is not suppose to give any info on Moms finances. She represents Mom and does what she thinks is in the best interest for Mom.
When it comes down to it, Mom could have cashed in these CDs too if she felt she needed them. Beneficiary only comes into the picture when the person passes.
But, check the institution to see if they will accept the POA. Often the financial institution will require their own form and will not accept a standard POA.