Misselling threat to IFAs from new power of attorney rules

The warning follows the change from enduring power of attorney (EPA) to LPA requirements on Monday. Symponia says IFAs using LPA without checking their client’s mental capacity could suffer client and regulatory backlash if their client loses money. Clients could sue the IFA for miss-selling and at worst, the FSA could strike the adviser from the register. The group urges advisers to take particular care when assessing their clients' mental capacity as it is an important part of the new requirements. Adviser should also make sure clients without an EPA or LPA in place consent to a famil...