If you need someone to have the right to receive information about your account, then you will need to give them an authority letter. This is important to prevent any kind of fraud. In this article, we tell you how to write a letter of authority for the bank.
Why is it important to write an authority letter for a bank? With the number of cases of identity thefts and information leaks that are taking place, it is important that there be some kind of proof in place when you need to give out privileged and sensitive information to a third party. Occasionally, there may be situations where you will need to get a job done or give information about your financial status to someone without being present there yourself. But in order to do so it is important that you authorize this third person to receive this information from the bank. For this, you will need to draft a letter of authority for the bank. A letter which is properly drafted will allow the third person access to the information he needs. For most banks, you will need to specify in the letter the information that you want to provide this person with. In this article, we give you the format and sample of such a letter.
As with most other forms of letter writing, there is a certain specific format that you need to follow while writing an authority letter that needs to be given to bank officials. Given below is the proper authorization letter template for a letter to a bank.
Name of Addressee
Reference: In brief and concise terms mention the reason for writing the letter.
The first paragraph of the letter should explicitly mention the reason for writing the letter. You will need to introduce the person who is carrying the letter and your relationship with them. This information is extremely important and the bank may ask you or the bearer to verify this piece of information. The reason for writing the letter should be mentioned in concise and clear terms to avoid any sort of confusion.
The second paragraph will serve to prove that the letter has not been forged. For this you will need to include personal information regarding your transactions with the bank that only you could be aware of. This will confirm the authenticity of the letter.
It is in the final paragraph of the letter, that you will need to include information about your contact details. This is important in case the bank needs to contact you for any verification regarding the letter.
Now that you know what the proper format of an authorization letter to a bank is, you can refer to the sample of authority letter given below. This authorization letter sample will help elucidate the format given earlier better.
243, Elm Street
New York – 695566
Date: 29th March 2012
G N Bank
Reference: Authority letter for Melinda Jones
To Whomsoever It May Concern,
I, the undersigned, have for the past five years had financial transactions with your organization. I am the holder of a savings account and a recurring deposit with your bank. Due to professional reasons, I am now shifting base to Las Vegas. In view of this change of residence, I need to shift my account to the branch in Las Vegas. Due to the suddenness of the move it was not possible for me to come to the bank to make the necessary changes. I therefore, authorize my sister, Melinda Jones to act in all matters necessary for the transfer of account to the GN Bank branch in Las Vegas.
With this letter, I am enclosing duplicates of my account statement for the past two months and proof of identity for confirmation of my relationship with the bearer of the letter.
In case you need to contact me for any clarification or verification, then please send me an email at [email protected]. I do not have a phone connection presently but will inform you of the same as soon as possible.
Authorization letters are extremely simple to write but you need to format them correctly. While writing an authority letter for a bank, ensure that you include all the necessary information as you do not want the bearer of the letter to be stranded due to lack of proper proof.