Legal Question in Wills and Trusts in Mississippi

Re: Power of Attorney vs Blood Relative

The "power of attorney" is the actual legal document which confers power to another. The person to which power is conferred is called the Attorney-in-Fact. Thus, when you reference the "power of attorney," I will assume that you are referencing the Attorney-in-Fact. Whether and Attorney-in-Fact is a blood relative is irrelevant.

Powers of Attorney and, therefore, the powers of an Attorney-in-Fact, end on the death of the person who granted the power. For example, if A executed a Power of Attorney and made B his Attorney-in-Fact, B's power ends on A's death. Before A's death, B has the power to do whatever the Power of Attorney document says that B can do.

If the contract with the bank regarding the CDs permitted early withdrawal, then B could make an early withdrawal. However, B could only do this on behalf of A and the money would have to be used for A. Remember, most Powers of Attorney give B power only, they do not give money or property. If B abused his power by keeping the money from the cashed-out CDs, you (or the original PoD beneficiaries) should consult legal counsel asap.

Re: Power of Attorney vs Blood Relative

The relationship of the POA is unimportant. A POA ends on death. The CD (certificate of deposit) is a contract with the bank or financial institution and must be honored. The POD should prevail and bank may have to pay again. Consult an attorney ASAP. Of course, other facts not related to me may change this response.