Authorization Letter to Collect Payment on My Behalf

It may not always be feasible to collect the payment money from a party personally by the person, who is supposed to receive it. Hence, he can authorize someone in writing to collect the money on his behalf.

You may be wondering, in this day and age, why a person will have to write a letter and why he cannot just call over the phone and inform the payer that someone is coming to collect the payment.

It is because a signed authorization letter serves as evidence in case the matter is disputed between the parties in the future and the case ends up in the court of law.

An organization can authorize any of its officials to collect money on its behalf.

Here are examples of authorization letters for collecting money on behalf of someone.

TEMPLATE #1

(Official Authorization)

Ref: ...................

Date: .................

To

(Name of the Party)

(Address)

(Phone Number)

Sub.: Authorization for collecting payment

Dear .............,

We are hereby authorizing the following official of our company to collect a payment of a sum of Rs. ................... (Rupees ...................... only) in respect of the amount outstanding towards invoice number ................. dated .............. for the supply of the .............. goods.

Name of the employee: .........................

Designation: .......................

Employee code: .................

Signature: ................

You may pay him the said amount in cash or by cheque or demand draft as suitable to you.

Thank you for your cooperation!

Yours faithfully,

For .................... Limited,

    (Signature)

(Name of the Officer)

(Designation)

TEMPLATE #2

(Email Authorization)

Dear ...............,

Greetings of the day! I hope you are doing well.

You are hereby authorized and directed to pay to Mr. ................... an amount of Rs. ............... owing in respect of the loan, which I gave you last year. He will be visiting your house tomorrow morning to collect the money.

You may verify his identity through his government identity card before handing over the money.

This shall be your good and sufficient authority for so doing.

In case of any query, please contact me at (Phone Number).

Thanks & Regards,

(Name of the Person)

TEMPLATE #3

(Personal Authorization Letter)

Date: .................

From

(Name of the Sender)

(Address)

(Phone Number)

(Email Id)

To

(Name of the Person)

(Designation)

(Name of the Organization)

(Address)

(Phone Number)

Sub.: Authorization to collect payment

Dear Sir/Madam,

I, the undersigned, hereby authorize Mr. / Ms. (Name of the Person) for collecting money from you for an amount of Rs. .............../- towards the services rendered by my firm last week vide invoice number ............. dated ...........

For the purposes of identification, Mr. / Ms. (Name of the Person) is the holder of Passport/ Aadhar card bearing number ................., which you may verify as well.

This authorization letter will be valid until (Date).

In case of any questions, feel free to contact me at (phone number).

Thanking you,

Yours sincerely,

    (Signature)

(Name of the Sender)