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Financial Authorization Letter for Malaysia

Financial Authorization Letter Template for Malaysia

A Financial Authorization Letter under Malaysian law is a formal document that grants specific financial authority to designated individuals or entities to act on behalf of the authorizing party. The document, governed by Malaysian financial regulations including the Financial Services Act 2013, establishes the scope, limitations, and duration of the financial authority granted. It typically includes detailed specifications of authorized transactions, monetary limits if applicable, and requires proper verification and documentation in compliance with Malaysian banking practices and anti-money laundering regulations.

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Financial Authorization Letter

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What is a Financial Authorization Letter?

The Financial Authorization Letter is a crucial document in Malaysian business and financial operations, used when an individual or entity needs to delegate financial authority to others. This document is particularly important in situations requiring temporary or permanent delegation of financial decision-making powers, such as corporate treasury operations, international business transactions, or when key signatories are unavailable. The letter must comply with Malaysian banking regulations, particularly the Financial Services Act 2013 and anti-money laundering legislation. It should clearly specify the scope of authority, duration, and any limitations, while including proper identification and verification of all parties involved. The document is widely used across various sectors and is essential for maintaining proper financial controls while enabling business continuity.

What sections should be included in a Financial Authorization Letter?

1. Letter Header: Contains date, reference number, and letterhead of the authorizing entity

2. Addressee Details: Full name and address of the financial institution or entity being authorized

3. Subject Line: Clear indication that this is a Financial Authorization Letter

4. Authorizing Party Details: Full details of the person/entity granting the authorization

5. Authorized Actions: Specific financial transactions or actions being authorized

6. Duration of Authority: Time period for which the authorization remains valid

7. Authorized Person Details: Complete information about the person being granted the authority

8. Closing and Signature: Formal closing, signature block, and execution details

What sections are optional to include in a Financial Authorization Letter?

1. Account Details: Specific bank account numbers and details when authorization is for specific accounts only

2. Transaction Limits: Include when there are specific monetary limits on the authorization

3. Special Instructions: Any specific conditions or instructions for executing the authorization

4. Witnessing Requirements: When formal witnessing of the authorization is required

5. Revocation Clause: Specific terms for revoking the authorization before its expiry

6. Digital Signature Declaration: When the letter is being executed electronically

What schedules should be included in a Financial Authorization Letter?

1. Specimen Signature: Sample signatures of authorized persons for verification purposes

2. Identity Documents: Copies of relevant identification documents of authorized persons

3. Corporate Resolution: If authorizing party is a company, board resolution authorizing the delegation

4. List of Authorized Transactions: Detailed list of specific transactions or actions being authorized

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok成人版 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Malaysia

Document Type

Letter of Authority

Sector

Banking

Cost

Free to use
Relevant legal definitions


















Clauses


















Relevant Industries

Banking

Financial Services

Corporate Services

Investment Management

Insurance

Asset Management

Treasury Services

International Trade

Real Estate

Relevant Teams

Finance

Treasury

Legal

Compliance

Risk Management

Corporate Secretarial

Operations

Banking Relations

Senior Management

Board of Directors

Relevant Roles

Chief Financial Officer

Finance Director

Treasury Manager

Company Secretary

Managing Director

Financial Controller

Account Manager

Corporate Banking Officer

Compliance Officer

Risk Manager

Board Director

General Manager

Operations Director

Industries






Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks, 聽Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination, 聽Severance Pay, Governing Law, Entire Agreemen

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