50+ Sample Authority Letter Templates

What Is an Authority Letter?

An authority letter is an official or legal document that states the authority given for a representative to perform specific tasks on behalf of the person who gave the permission. It is basically a detailed letter confirming someone’s authorization of what another person should do and not do given that the authorizer cannot fulfill the tasks at hand for certain reasons. And authorization or authority letters have been commonly used in business, particularly in delegating responsibilities to someone else.

According to Statista’s 2019 research survey, 35% of respondents agreed that biometric methods were said to be the most trusted method of payment authorization in America.

When Do You Need an Authority Letter?

Authority letters can be used for a variety of reasons. It can be as simple as authorizing someone to sign a school field trip or as challenging as delegating someone to discuss a complex business employee report. So in this section, get to know the most common examples of when you will need an authority letter.

Financial Transaction: You can prepare a letter if you need to process any financial transaction. As long as the representative knows about the amount of money, what to sign, and other instructions, dealing with finances can run smoothly. One known example is through payment authorization wherein the US had over 35% of respondents who agreed that biometric systems were a trustworthy payment authorization method.Medical Emergency: At times there is a medical emergency and someone’s presence is needed but he or she can’t make it, authorize someone else to be present instead. A common example is when a parent assigns a guardian to tend to the children because the parent can’t make it due to health reasons.Decisions for Minors: Minors require a parent’s signature for travel, bank transaction, and any other example where they should be of legal age to make a decision. Hence, authorizing someone of age is the better approach to decide for the children or minors to be acceptable.Release of Personal Information: Some personal information is meant to be kept private. So if you plan to request in releasing some personal details and you need a representative in doing so, authority letters are the key. This data goes from medical history, financial transactions, top-secret files, and more.Package Delivery: Another common example is through package delivery. If what you purchased online is about to be delivered right to your doorstep, yet you were unavailable at home, then it is better to assign someone else to receive the package as your representative.

The Basic Parts of an Authority Letter

Now that you can think of many examples on where to apply your use of authority letters, it is also crucial that you know the common parts of the said letter first. Although an authority letter’s content differs from one example to another, common elements are also noticeable. And the standard parts of an authority letter consist of the following:

Introduction: An authority letter should begin with an introduction from the title ‘Authority Letter’ and a brief introductory statement of what the whole letter is about. There should be a clear statement about implementing an authorization, when the letter was written, and other basic details.The Authorizer and the Representative’s Details: Next, the authorizer should identify himself or herself. This goes from the name, address, and contact details. The same goes for the representative’s identification details. To avoid mixing the details of the two parties, be sure to include the position on who is the authorizer and the representative for clarity purposes.Salutation: Just like writing standard letters, you have to address to whom the letter is for. And a salutation that starts with ‘Dear Mr. or Ms.’ followed by the name of the recipient will be the acceptable format. But if you are unsure of who should receive the authority letter, then you can prevent confusion by adding ‘to whom it may concern’ instead.Authorized Tasks, Terms, and Information: The meat of your authority letter is to be very specific and detailed about what authorized tasks, terms, and additional information should be observed by the designated representative. You can write down the whole task list, what is allowed and prohibited, and other relevant data for the body of your letter.Duration of Authority: Do not forget to mention how long the authorization takes place. Be sure about the schedule because maybe some people would assume that your representative works for you for just a day but you actually need him or her for a whole week. Thus, be specific with the dates from when the authorization starts and ends.Reason of Authority: The recipient would naturally wonder why you need to assign a representative in the first place. And it should be answered in the authority letter too, particularly in a detailed explanation. Be sure to write the truth and a valid reason for authorizing someone else like having a health problem, an important business conference, or anything that made you not do your expected tasks.Signature: A closing statement follows next until the authorizer affixes his or her signature in the authority letter. That signature confirms that the authorizer wrote everything truthfully and correctly. The standard is to write the whole name in capital letters with a signature on top of it.

How to Make a Proper Authority Letter

Making an authority letter is easy. In fact, you can make one within seconds with the help of those sample authority letters listed above. But, the letter’s content should also be taken into consideration because you can’t just give out wrong information. Otherwise, the authorization process could be rejected by the recipient. So to create an authority letter properly, be sure to consider these steps:

Step 1: Meet with the Representative and Discuss the Authority’s Purpose

First things first, an authorizer should set a business meeting with the representative to discuss the authorized duties and responsibilities. It would be bad to just assign someone a task on your behalf while the representative isn’t fully informed in the first place. This meeting should be where you cover the authorization’s purpose. Why should he or she be appointed as your representative? And what will that person do on your behalf? You can authorize about anything may it be related to completing passport requirements, processing a car rental, or managing a loan payment. Clear things out no matter what that purpose is.

Step 2: Download a Sample Authority Letter

To start working on crafting your authority letter, use the sample authority letters provided above. You have plenty of examples to choose from and since they are premade, starting from scratch is unnecessary. Just complete the necessary details and edit however you want the business document to turn out like. And from what you discussed with the representative earlier, expect to write them down in the letter.

Step 3: Insert the Basic Parts of an Authority Letter

You already know that there are standard parts to an authority letter, which are from the introduction down to the signature line. Thus, add them one by one into your letter to complete it. The key about adding such parts is to divide the letter into sections. You have one part for the introduction, another for salutation, and so forth. Also, you can add more categories into the letter depending on what is relevant or preferred for the authority letter.

Step 4: Write Accurately, Truthfully, and Clearly

A very important consideration is to mind what you are writing. Focus on keeping it accurate, clear, and truthful. Wrong information could automatically nullify your letter’s validity. More so, lies won’t do any better because recipients would no longer trust you when fake details are inputted in the letter. Most importantly, clarity is the key. This does not only mean that your words and sentences should be legible but they should be easy to read as well. That way, misconstrued instructions will be avoided.

Step 5: Finalize the Letter’s Design and Format

When you are done writing and are already confident with the letter’s details, you have to finalize the format and design next. An example is whether to print or send the letter as an email. You can also go for the authority letter in PDF or MS Word. Go for what works best for you. Also, some authority letters have attachments, if needed. An example is to include a medical certificate form in the letter to prove that the authorizer is actually sick; hence, making the reason for not being available to be believable.

FAQs

Who are the parties involved in an authority letter?

Expect three parties to be part of a standard authority letter. The first party is the owner or authorizer, and typically the one who creates the letter in the first place. The second party would be the recipient of the letter, typically the organization, company, or group that should be informed that there is an authorization. Lastly, the third party is the representative assigned by the first party, who is the proxy to perform the first party’s tasks.

Is an authority letter legally binding?

An authority letter is often a legally binding agreement, meaning the person who signed the letter should follow what was written there. But, it is not always required to attest the letter, unless the authorized duties to consider cover heavy risks which will need to be attested.

Does an authority letter expire?

Yes, an authority letter eventually expires. That explains why there is a duration of authorization in the first place. Usually, authority letters last twelve months. And it works best to clarify the validity date in the authorization letter in case it can extend or be shortened.

Assigning someone else to a task that is very important to you should not be taken lightly. You deserve the most trusted candidates to act as representatives too. Otherwise, things might go wrong. So the next time you permit someone to perform duties on your behalf but are unsure of how to start, simply use sample authority letters. Things are already made easier for you since each sample template is editable, downloadable, and printable anytime. Create your own authority letter now!