Power of attorney is a legal process where one individual grants a third party the authority to transact
certain business for that individual.
It does not diminish the rights of the individual and does not usually grant the third
party the right to manage the individual’s assets. It typically makes no finding about
the individual’s capability or competence.
Power of attorney is not recognized by the Treasury Department (TD) for the purposes
of negotiating federal payments, including Social Security or SSI checks (For information
about TD requirements see GN 02410.010). However, the presence of a power of attorney indicates that a favorable, trusted
relationship exists between the beneficiary and the person holding the power of attorney
(see payee preference lists in GN 00502.105).