Authorisation Letter For Bank Template for Singapore

An authorisation letter for bank is a formal legal document that grants another person the authority to perform banking transactions on your behalf in Singapore. Under the Banking Act and MAS Guidelines, this document creates a legally binding relationship between you, your authorized representative, and your bank, ensuring compliance with Singapore's strict banking regulations and anti-money laundering requirements.

When do you need this document?

You need an authorisation letter when you cannot personally handle your banking matters but require someone else to act on your behalf. Common situations include extended overseas business trips where urgent transactions may arise, medical emergencies that prevent you from visiting the bank, or when elderly family members need assistance with their banking affairs. Corporate account holders frequently use these letters to authorize employees or business partners to conduct routine banking operations. The document is also essential when you want to limit liability by clearly defining what banking activities your representative can and cannot perform.

Key legal considerations

Your authorisation letter must comply with the Personal Data Protection Act 2012, which governs how your personal banking information can be shared and used. The scope of authorization section is crucial—you should clearly specify which banking activities are permitted, such as withdrawals, deposits, or account inquiries, and set transaction limits to protect your interests. Consider including a termination clause that allows you to revoke the authorization at any time by written notice to the bank. The duration of authorization should be reasonable and specific, as indefinite authorizations may create unnecessary risk. Ensure both you and your authorized person provide valid identification documents that meet the bank's KYC requirements under MAS Guidelines.

Legal requirements in Singapore

Singapore's Banking Act requires banks to maintain proper customer identification and transaction records, which extends to authorized representatives. Your letter must include complete identification details for both parties, including NRIC or passport numbers, addresses, and contact information. The Monetary Authority of Singapore mandates that banks verify the identity of authorized persons and may require additional documentation or in-person verification. Under the Electronic Transactions Act, while electronic signatures may be acceptable for some banking documents, many banks still require original wet signatures for authorization letters due to security protocols. The authorized person must also comply with anti-money laundering regulations and may be subject to the same due diligence requirements as the account holder. Banks typically require the original authorization letter and may keep copies for their records as required by banking regulations.