Financial Power of Attorney in South Carolina: What Your Agent Can and Cannot Do

A financial power of attorney in South Carolina gives your agent authority over money, property, and business matters — but the scope depends entirely on what powers you grant. Under the South Carolina Uniform Power of Attorney Act, some powers are included by default and others require explicit authorization.

Understanding the difference prevents two problems: giving your agent too little authority to be effective, or giving so much authority that it exposes your estate to risk.

Standard Financial Powers

When you grant general authority over a financial category in your POA, your agent can handle routine transactions in that area. Under S.C. Code Ann. § 62-8-204 through § 62-8-216, standard categories include:

• Banking — depositing, withdrawing, transferring funds, opening and closing accounts
• Real property — managing rental income, paying property taxes, maintaining property, but not selling without explicit authorization
• Investments — managing brokerage accounts, buying and selling securities within established patterns
• Insurance — paying premiums, filing claims, changing coverage
• Taxes — filing income tax returns, representing you before the IRS and SC Department of Revenue (including using Form SC-2848), handling audits
• Government benefits — applying for Social Security, Medicare, Medicaid, and veterans' benefits
• Business operations — managing an existing business, signing contracts, paying employees

Hot Powers: The Explicit Authorization Requirement

Under S.C. Code Ann. § 62-8-201, certain high-impact financial actions are not included in a general grant of authority. Your agent cannot perform these unless your POA document specifically names each one:

• Creating, amending, revoking, or terminating a trust
• Making gifts (including annual exclusion gifts for tax planning)
• Changing beneficiary designations on life insurance, retirement accounts, or TOD/POD accounts
• Creating or changing survivorship rights in jointly held property
• Delegating authority to another person

These are called "hot powers" because they permanently alter your estate plan. A general statement like "I grant my agent full authority over all financial matters" is not enough to activate these powers in South Carolina. Each must be separately and explicitly stated.

This matters for Medicaid planning: if your agent needs to retitle assets or change beneficiary designations to qualify you for long-term care benefits, the POA must include hot powers. Without them, the agent cannot execute the strategy.

What a Financial POA Does Not Cover

A financial POA is strictly limited to money and property. It does not give your agent authority to:

• Make medical or healthcare decisions (you need a separate Healthcare POA for that)
• Consent to or refuse medical treatment
• Draft or execute a will on your behalf — this is categorically prohibited in South Carolina
• Vote on your behalf
• Perform personal services (marriage, divorce)

Fiduciary Duties of the Agent

Under S.C. Code Ann. § 62-8-114, your agent is legally bound to:

• Act in accordance with your reasonable expectations if known, or in your best interest
• Act in good faith and avoid conflicts of interest
• Keep your assets separate from their own
• Preserve your existing estate plan to the extent known
• Keep detailed records of all transactions made on your behalf

An agent who violates these duties can be held personally liable and removed by the probate court. In cases of intentional financial exploitation, South Carolina imposes criminal penalties under the Omnibus Adult Protection Act.

Financial POA vs. Healthcare POA

Most families need both documents. The South Carolina Power of Attorney Kit includes a financial POA with a hot powers authorization menu, the statutory healthcare POA, and the § 62-8-119 Agent's Certification Form for bank acceptance.

See more South Carolina guides →