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Cousin, not related to my mother took her to attorney and placed herself as POA and on my mothers will. Had original bank account closed and re opened new account with $3000 missing...what to do?

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I'm curious how you know that the old account was closed, and a new account opened, and how you know for sure that $3, 000 is missing? That's fairly private information. Did your mom tell you these bits of info?
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sandi, what cmagnum wrote is right. People can still be legally competent and have dementia. It is not until later stages that they tend to become legally incompetent. Legal incompetence requires that one or sometimes two doctors write letters or forms to that effect. If that was not done prior to POA assignment and change of the will, it may be difficult to show incompetence now. You may be able to, so you can discuss it with an attorney.

What kind of change to the will was made? I had wondered if there was a special agreement that this would be done in exchange for services rendered. Tell us a bit more and someone may have some good suggestions.
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If your mother was not incompetent, then there was nothing wrong with the cousin taking her to an attorney who drew up the POA and your mother signed it. If it can be proved that your mother was not competent, which requires more than just a diagnosis of dementia, then your cousin's POA is not valid.

Again, if your mother was not competent when the will was changed, then the change is invalid.

Do you have any knowledge where the 3,000 went to? How did you find out it was missing?

I suggest that you see a lawyer. You might even want to talk with the lawyer who wrote up the POA and changed the will.
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