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Account Payable Confirmation Letter for Singapore

Account Payable Confirmation Letter Template for Singapore

An Account Payable Confirmation Letter is a formal document used in Singapore's business environment to acknowledge and confirm the existence and amount of a debt obligation. Under Singapore law, this document serves as written evidence of the debt and typically includes specific details about the outstanding amount, payment terms, and relevant account information. The document must comply with Singapore's Contract Law and Financial Reporting Standards, making it a legally binding confirmation of financial obligation.

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Account Payable Confirmation Letter

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What is a Account Payable Confirmation Letter?

The Account Payable Confirmation Letter is a crucial document in Singapore's commercial landscape, typically used during audit processes, debt verification, or financial due diligence. It serves as official confirmation of outstanding payables and helps maintain accurate financial records in compliance with Singapore's accounting standards. This document is particularly important for establishing clear paper trails of financial obligations and can be used as evidence in legal proceedings if disputes arise. The letter should include specific details about the debt, payment terms, and be properly authorized according to Singapore's corporate governance requirements.

What sections should be included in a Account Payable Confirmation Letter?

1. Letter Header: Company letterhead, date, reference number

2. Addressee Details: Full name and address of the creditor

3. Account Details: Reference numbers, invoice numbers, account numbers

4. Debt Confirmation: Clear statement of the amount owed and currency

5. Payment Terms: Expected payment date or schedule

6. Authentication: Authorized signature and company stamp

What sections are optional to include in a Account Payable Confirmation Letter?

1. Payment History: Previous payments made, relevant to establish payment pattern. Use for long-term business relationships or disputed accounts.

2. Interest Terms: Any applicable interest rates on outstanding amounts. Include when interest is being charged on overdue amounts.

3. Dispute Resolution: Process for handling disagreements. Include when there's history of disputes or high-value accounts.

What schedules should be included in a Account Payable Confirmation Letter?

1. Statement of Account: Detailed breakdown of transactions and balance

2. Original Invoices: Copies of relevant invoices being confirmed

3. Payment Schedule: Detailed schedule if installment payments are agreed upon

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

Singapore

Document Type

Confirmation Letter

Sector

Sales

Cost

Free to use
Relevant legal definitions




















Clauses




















Industries

Contract Law (Chapter 2): Primary legislation governing formation and enforcement of contracts in Singapore, essential for the basic structure and validity of the confirmation letter

Companies Act (Chapter 50): Regulates corporate entities in Singapore, relevant for verification of company authority and execution requirements

Evidence Act (Chapter 97): Governs admissibility of documentary evidence, crucial for ensuring the confirmation letter's validity in legal proceedings

Singapore Financial Reporting Standards: Financial reporting framework that governs how accounts payable should be recorded and reported

Singapore Accounting Standards: Standards for accounting practices in Singapore, relevant for proper documentation of accounts payable

Limitation Act (Chapter 163): Sets time limits for debt claims, important for specifying validity periods and enforcement timeframes

Civil Law Act (Chapter 43): General civil law provisions affecting contractual relationships and obligations

Sale of Goods Act (Chapter 393): Relevant when the accounts payable relates to goods purchased, governing rights and obligations in such transactions

Payment and Settlement Systems Act: Regulates payment systems and settlement finality, relevant for payment terms and conditions

MAS Guidelines: Regulatory guidelines from Monetary Authority of Singapore affecting financial transactions and documentation

ACRA Requirements: Accounting and Corporate Regulatory Authority requirements for proper business documentation and record-keeping

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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