How to Write Letter

Bank Signature Authorization Letter

There are different types of loans. One such type of loan is a signature loan. It is also called a good faith loan that is unsecured and requires only the borrower's signature on the loan application. It is unsecured in the sense that the bank doesn't require the borrower to promise to give any property to them if they fail to return the money. It is for this reason that the lending bank has to make a thorough research about the borrower's eligibility to determine whether it is worth taking a risk on.


When you apply for a signature loan, you need to have a job, whether it is permanent or temporary, it doesn't matter. You should have a job for at least six months. No bank will ever want to give loan for someone who doesn't earn and can't repay back the loans. You should also have a decent credit rating. Since the signature loan is a risk for the bank, the bank just wants to know whether you are the person they can trust on. Furthermore, you should not have defaulted on any of the loan. Banks prefer to lend to those who have a record of paying back the money that they borrow.

Sometimes after getting the loan, you may need to shift to other places either for a job purpose or some other personal reason. In that situation, you should inform the bank about any change in your address to receive the billing statement and have a track of your loan account. The bank is not going to run after you to collect their money you owe them. If you are unable to visit the bank personally, you can authorize your friend, relative, or a family member to act on your behalf in the banking related matters

Bank signature authorization letter written to the bank should have the details of the account holder and type of account he is holding. If the letter is to authorize someone sign on your behalf, it should provide the detail identification of that person to the bank. This will avoid any misunderstanding in the future. It should also mention how long the authorization is going to be in effect.

Bank Signature Authorization Letter Sample

Korey Jaberg
6050 Amesbury Street
San Diego, CA 92114-6717
(619) XXX-5690

10 December, 2010

Patricia K. Culbreth
Distant Bank
8104 Fenway Road
San Diego, CA 92114-6718

Subject: Signature authorization letter

Dear Culbreth,

I am writing this letter to inform you that I have borrowed a signature loan to purchase a home from your bank. As I am out of the country on a new job, this letter is to authorize my wife, Angelina Korey Jaberg to act on my behalf in matters related to my newly bought home in San Deigo. This letter is also to authorize my wife to sign all the documents relating of this matter.

I am enclosing the detail information of my loan account with my ID for your further reference. A photocopy of my wife's passport is also attached herewith.

If you need any answer for your question, please contact me at my number.

Yours sincerely,
Korey Jaberg

This bank signature authorization letter is written to authorize someone to sign the documents on your behalf. You can also write this authorization letter to the bank if there is any change in your name, or in the billing address.

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