If you are a carer, then you may find yourself helping to manage the finances of the person you care for. You may help them with household budgeting and paying their bills. It may be dependent on the person’s disability or mental capacity as to whether you would need to do this so you should try and discuss it with them. If needed you can contact the Office of the Public Guardian to apply for power of attorney.
Read more about personal and household finance and budgeting tips for carers.
Your own finances
Dealing with someone else’s money can be stressful and time consuming. If you have found yourself looking after someone else’s finances, it’s also important not to neglect your own. You should contact your bank to discuss your options about savings or any extras they may offer to you as a carer. You can also register for online banking, which will enable you to manage your money from your own home.
You may find that your income is affected by your caring role, especially if you have had to leave work in order to care. It’s important that you budget for these changes and feel in control of your own money. If you are worried about money, or feel like you are getting yourself into debt, it’s important to be honest with yourself and face the problem. (See our pages on Budgeting).
Who can help?
The independent national Money Advice Service can offer free, impartial information and advice about money matters on 0300 500 5000. If you are worried about any debts that you have, or are worried about getting into debt, then you can contact the National Debt Line on 0808 808 4000.
As a carer a lot of your free time may be taken up by caring for someone and physically being present with them. You might find that paying bills online or by direct debit saves you time and money, but you must remember that the money will take a few days to clear from your account so it’s best to make sure that you budget your own money well and remember any payments you have made online or direct debits that you have. Many organisations offer a discount if you set up regular direct debits with them.
You might also find that making a budget for either the person you care for, yourself or as a household, helps you to plan your finances better and keep in control of your spending. Small changes such as meal planning and sticking to a strict shopping list can make a dramatic difference to your household expenditure.
Looking after someone else’s finances
You may be able to help manage someone's finances if you have Lasting Power of Attorney (LPA) or Enduring Power of Attorney (EPA), have been made an appointee, or if you have been appointed as deputy by the court of protection.
In order for this to happen, you need to have had your LPA or EPA registered. The bank or building society will require proof of your legal standing on managing someone’s finances before they allow you access. They will also need to see proof of the name and address of the person you are caring for.
Restrictions may be in place in regards to how you are able to manage the account, for example if someone has been made an appointee, then they can only deal with money from the Department for Work and Pensions (DWP).
You can also apply for a third party mandate to deal with a bank, building society or other financial account on someone else’s behalf. This allows you to deal with someone else’s banking for them in branch if they cannot attend the bank themselves.
If you are not a member of the same bank, then you will need to take identification with you as well as the form filled in by the person you are acting on behalf of. You can usually apply for a form from the bank directly. A third party mandate cannot be used for someone who has lost their capacity.
For more information about looking after someone’s finances, talk to the bank or building society dealing with the account.
To find out about becoming an appointee for benefit purposes you can contact the DWP via its website.
For further information on Deputies, Lasting Power of Attorney or Enduring Power of Attorney, you can speak to the Office of the Public Guardian.
