I am an attorney, and I can tell you a limited power of attorney is a routine process so that a financial institution or even a vehicle dealer can process all the paperwork required for the DMV. There is nothing to be concerned about. The last time you traded a car on a new one I bet you signed the same thing. It is just a document they want to check off their list. The chances are good they will not need it, but if there is an error somewhere with your title and a new document needs to be signed to get a new title and the seller already has his money and is gone, then the lender may find themselves without collateral on the loan.
