Authorization Letter to Claim Money

Most transactions involve only two parties. However, some may involve three parties to the deal; the traditional two parties and a third party who basically facilitates the transactions on behalf of the two parties involved. It is in this second instance that the authorization letter mainly comes in.

This is a letter that a first party otherwise called an original holder of rights drafts to authorize the third party (facilitator) to claim money from the second party to the transaction. Like any other official letter, this one also requires some expertise and skill to draft. That is why a suitable guide to that effect is by all means called for.

How to write an authorization letter to claim money

Identify the three parties to the claim. Start off by identifying the three parties to the claim. While at it, ascertain the unique roles that each of the three parties plays in that particular transaction. By knowing the role that each party plays, it is possible for you to customize the letter in such a way as to respond to the unique needs of the letter.

Determine the purpose of the letter. Now move ahead to determine the purpose of the letter. All ‘authorization letters to claim money’ serve basically one central purpose; to ask the recipient to disburse a given amount of money. Beyond that, they serve completely unique purposes. You have to know about this as well as the finer details of each transaction.

Familiarize yourself with the law. Everything you do has to be anchored in and consistent with the law. It is because of this that you now have to familiarize yourself with what the law says concerning that particular transaction. This may require technical assistance especially that of an expert attorney.

Type rather than hand-write the letter. It is highly recommended that you type rather than hand-write the letter. Typing gives the letter a professional look and a sense of seriousness that handwriting cannot. Moreover, it also wards off any ambiguities that may often arise when the same is read and interpreted.

Proof-read and edit the letter before submission. As always, you have to proof-read the letter before submitting the same. Take care that you weed out any grammatical or semantic errors. This procedure is crucial yet again to prevent any ambiguities from arising and to also see to it that the letter services its intended purpose.

Authorization letter to claim money (template)

Your name

Your address

Your city, state zip code

Your phone number

Your email






City, state zip code

Respected mr. /ms. Last name:

Re: sample authorization letter to claim money

I hereby authorize ______ (name of the company or third party) to claim $ _ (amount of money) from _____________ (the second party). I am unable to do so on my own due to my ordinarily squeezed schedule.

Other than claiming the money back, i also authorize him to act on my behalf on all disputes and settlements that may arise in the course of processing the claim.

Once claimed, the ______ (name of the third party) is not permitted to use the whole or part of that money for any purpose. Instead, he is to deposit the same in my back account _____ (bank account number) immediately.

Kindly accept my letter of authorization as official and express permission to __ (name of the third party) to act on my behalf and represent me fully.

Respectfully yours,

Signature (hard copy letter)

(Full name)

Sample authorization letter to claim money

David collinson,

Fountain heights,

1305 2nd ave n unit 201,

Birmingham, al 35203 · 1801


Peter jenkins,

Chief executive officer,

Portfolio recovery associates,

710 20th street n,

Birmingham al 35203 -0548

Respected mr. /ms. Last name:

Re: sample authorization letter to claim money

I hereby authorize portfolio recovery associates, a debt collection agency, to claim my due $5,000 debt from ernst and young law associates. I have tried to coax them to pay back the debt severally but in vain.

The firm is to perform all the duties and responsibilities that may revolve around the processing of the transactions. Throughout the entire duration, they shall act as though i am the one who is actually petitioning the firm for a refund.

Upon successfully recovering the debt, the amount is to be wired to my bank account number 1321465789033, west alabama bank trust, birmingham branch. It is not to be spent or used for any other purpose.

This authorization is only applicable to this specific claim. It may not automatically for any other future dispute. That will require a separate authorization altogether.

Respectfully yours,

Signature (hard copy letter)

Authorization letter to claim money (Word Format)

File Format
  • MS Word

Tips for writing the authorization letter

  • Date the letter. As with any other formal letter, this one too has to be dated. The date you choose should be the one when the letter is officially deemed to have been written rather than when it is to be received. This consideration is important to allow for easier referencing later on.
  • Maintain its length short and concise. You should maintain the letter shorter and concise. It is not necessary for you to incorporate so many details. Instead, you should weed out those who are not really relevant and important to the letter. This is important because you do not want to bore the reader with details that are not really needful.
  • Keep it informative and comprehensive. Even though you have to keep it short, you should see to it that you place all the necessary details that pertain to the letter and the claim at hand. Do not be tempted to leave out any details that may compromise the understanding and interpretation of the said contents.
  • Employ a cordial and positive tone. At all times, you should employ a cordial and positive tone to convey your content and ideas. Even though it is your right to demand the money, do not be tempted to be rude to the recipient or reader. That may jeopardize your own chances of ever receiving your money back or in time for that matter.
  • Use a formal letter format. This is an official letter. As such, you have to employ the formal letter template to convey the ideas. By format, we refer to the breakdown of the letter, the language used, the overall length, and the spacing in between the lines. Yet again, adopting this stance will make the letter easily readable.


Alright! You have truly known all that may be necessary for the drafting of the ‘authorization letter to claim the money.’ with this knowledge, we now trust that you have what it takes for you to do a good job. What more could we possibly add? Move with haste to implement the information you have generously received.