For a quick, downloadable chart that summarizes account access levels, click here. 

When it comes to protecting your financial wellbeing, it’s important to plan for both the expected and the unexpected. One critical step is deciding who — if anyone — should be able to receive information about your accounts or act on your behalf.  

While designating a trusted contact, privacy waiver, or power of attorney may feel like a small administrative detail, these choices can have a significant impact on your long-term financial security. Not all designations are the same, and each plays a very different role. They provide clarity, reduce the risk of delays or disputes, and help ensure your financial plan continues smoothly, even if life takes an unexpected turn. 

Whether you’re thinking ahead, caring for aging parents, or simply wanting to stay prepared and protected, these designations give you ways to formally involve others in your financial plan.  They range from protective safeguards (Level 1 – Trusted Contact) to full account authority (Level 3 – Power of Attorney). Here’s a breakdown of what each level provides, the authority it grants, the limitations it carries, and how to establish it: 

Level 1: Trusted Contact  

FINRA defines a trusted contact as “a person you authorize your financial firm to contact in limited circumstances, such as if there’s a concern about activity in your account and they’ve been unable to get in touch with you.” This person serves as an additional safeguard for your financial security — without having access to your account details or money. 

Regulators including FINRA (Financial Industry Regulatory Authority), NASAA (North American Securities Administrators Association), and the SEC (U.S. Securities and Exchange Commission) all recommend listing a trusted contact on your investment accounts as a protective measure. 

A trusted contact is a great fit for most investors, since it adds a layer of protection in the event of unusual activity or emergencies. 

What A Trusted Contact Can Do 

• Confirm your wellbeing: If your advisor or financial institution cannot reach you, they may check in with your trusted contact to confirm that you’re okay. For example, if you’re hospitalized and unreachable, your trusted contact can provide context so that time-sensitive matters — such as transfers, required distributions, or ongoing planning — continue without disruption.
• Verify key information: A trusted contact can help confirm things like your current address, phone number, or who else is authorized on your accounts.
• Help protect you from fraud or exploitation: If your advisor notices unusual withdrawals, potential financial exploitation or elder abuse scams, or other red flags, they can raise concerns with your trusted contact.  

What A Trusted Contact Cannot Do 

A trusted contact cannot view balances, make trades, transfer or withdraw funds, or log in to your accounts. Their role is strictly as a safeguard. Read more about what it means to designate a trusted contact, and what a trusted contact can and cannot do, here.

How to Set Up a Trusted Contact 

To set up a trusted contact, provide your advisory team with the individual’s name, address, phone number, and email address, and request that they be added as a trusted contact for your financial accounts.  

CLICK TO ENLARGE. Source: FINRA 

Level 2: Privacy Waiver  

A privacy waiver — sometimes called an “information-sharing authorization” — allows your advisor to share specific account information with a person you designate, such as a spouse, child, or trusted friend. This level provides access to account details and performance data, but does not grant authority to make changes or conduct transactions on your behalf. 

At Cassaday & Company, there are no limits on the number of privacy waivers that you can add to your accounts.  

A Privacy waiver is a great fit if you have a spouse, child, CPA, or other trusted individual who assists with your financial life. This option keeps them informed without giving them control, helping to ease communication and reduce confusion in family or planning situations. 

What A Privacy Waiver Allows  

• Receive and view specific investment account information and statements
• Access financial information for tax preparation or planning purposes 
• Review account activity and transactions 

What A Privacy Waiver Does Not Allow  

The authorized person cannot place trades, transfer money, or make changes to your account. Their role is limited to receiving and viewing information. 

How to Set Up a Financial Privacy Waiver  

To set up a financial privacy waiver, provide your advisory team with the individual’s name, address, phone number, and email address, and request to sign the privacy waiver document authorizing them to receive your account information. 

Level 3: Power Of Attorney 

According to Investopedia, a financial power of attorney (POA) is a legal document that grants a trusted person – known as your agent or attorney-in-fact – the authority to act on your behalf in financial matters. The person granting the authority is called the principal.  

This designation provides the highest level of access and authority over your investment accounts and financial decisions. A power of attorney authorizes an individual to act on your behalf and facilitate most aspects of your financial accounts, like receiving performance information, signing on your behalf,  authorizing certain account changes, and making withdrawals. Depending on how it’s structured, a POA can be limited (restricted to specific accounts or transactions) or durable (broad authority that continues if you become incapacitated). 

Even if you are not ready to grant financial power of attorney immediately, clients with an executed POA document can provide their advisory team with the documentation and agent information for safekeeping. This proactive approach ensures that your advisory team can quickly activate power of attorney if circumstances change. Having the POA parameters and agent’s contact information on file helps streamline the process when swift action may be necessary.

Cassaday & Company typically recommends designating only one power of attorney to avoid conflicts and ensure clear decision-making authority. 

A POA is a good fit for those who want to ensure a trusted individual can step in and manage their accounts if needed, especially in cases of illness, incapacity, or long-term planning. 

What a Power of Attorney Can Do 

• Act fully on your behalf for financial matters within the scope of the POA 
• Receive all investment account information and statements 
• Sign financial documents and agreements for you 
• Authorize account changes and new investment decisions 
• Make withdrawals and fund transfers 
• Execute most financial transactions 

What a Power of Attorney Does Not Allow 

The scope of authority depends on how the POA is written. For example, a limited POA may restrict authority to certain accounts or actions, while a durable POA allows broad authority even if you become incapacitated. 

How to Set Up a Power of Attorney  

To establish financial power of attorney access, provide your advisory team with a copy of your signed POA agreement along with the agent’s complete personal information: name, address, date of birth, Social Security number, copy of identification, phone number, and email address.  

From Safety Net to Full Control: Deciding What’s Right for You 

Think of these three levels as a spectrum of involvement — from safeguard to full authority: 

• Level 1: Trusted Contact → Safety net only — no account access, purely a protective safeguard 
• Level 2: Privacy Waiver → Information access — can view and discuss account details, but no control 
• Level 3: Power of Attorney → Full or limited authority — can act on your behalf, make changes, and execute transactions 

Because each serves a different purpose, you may find that a combination of these designations provides the right balance of protection, transparency, and control. Consider your personal circumstances, family dynamics, and long-term financial planning needs when deciding which level, or levels, are appropriate. 

Remember, these authorizations can be updated or revoked at any time, giving you complete control over who has access to your financial account information and when. Establishing a trusted contact, privacy waiver, or power of attorney does not diminish your independence — it strengthens your security and ensures your wishes are carried out. 

If you’d like to review which option, or combination of options, best supports your goals, your Cassaday & Company advisory team is ready to help.

Click here to download a chart that summarizes these account access levels