9+ Proof of Funds Letter Template Download [Word, PDF]


It is a dream for each one of us to own an asset. Be it a car or a house, we tend to mortgage our existing property to obtain funds from a financial institution.

In this process, you may encounter the need to issue a proof of funds letter as issued by the bank where you hold an account.

Are you encountering this situation now? This article can provide you ample knowledge and also readily usable templates for your need.

Printable proof of funds templates

When you make a hefty purchase, you need to know how to draft a letter and be wary of the financial processes involved.

This letter needs to be presented along with the bank statement and authorized signature from the banking institution.

1. Sample proof of funds letter

As a bank issues a proof of funds letter, it begins with the address of the bank followed by the account balance held by the applicant.

The term ‘line of credit’ is used to describe the fund status in the account. To be more accurate and legit, some banks tend to provide a background of the financial health of the applicant followed by the association of the applicant with the bank over years.

Simply download the following template and customize it as you need just like a weekly reading log template.

2. Proof of funds letter with letterhead

When the bank issues the proof of funds letter, it needs to display authenticity. This can be done through a letterhead in the header and a stamp along with the signature.

The following template is extremely easy to use and all that the bank needs to include your name and the balance available similar to a free printable contractor invoice.

3. Printable proof of funds letter

If you are applying for a proof of funds letter as a business entity or if you are a new bank official issuing a letter to the account holder, you may need a standard, instructional template.

Following is an editable format that presents detailed information about the account and guarantees the lender to approve the request of the account holder for the fund.

With a bank seal at the end, it improves better in terms of creditworthiness just like a free hold harmless agreement doc and a release of lien form pdf does.

4. Fundraising letter template

While proof of funds letter is important to apply for loans, some organizations use it to raise funds from donors and then provide transparent proof of funds.

The idea is to strengthen the fund status of your organization so you can apply for grants at a later stage.

5. Balance confirmation template 

Proof of funds letter is about confirming the balance in the account so that the authority can grant a loan to you.

To make things crisp here is a template that indicates bank account details along with the amount in a letter format. When you use it, you may have to alter the header with your bank logo and contact information in the footer.

6. Instructional proof of funds letter 

If you are running a financial institution, you may need to follow a standardized format to provide proof of funds to the account holder.

It follows a traditional letter format and placeholders dedicated to the same.

When you download this template, eliminate the placeholder by adding specific information and you are good to go.

7. Proof of funds status template

Here is a template that indicates the status of funds available for reserving for upcoming projects or loans in particular.

To enhance it further, you can include tags like strictly confidential and a watermark of the bank. There are a few key contents in a letter including funds to be cleared and funds blocked for usage.

All of these should be provided in this letter to process loan requests.

8. One-page bank proof of funds 

If you are new to the concept of proof of funds, let us not make it look complicated. Read the contents in the following template and enter values as asked.

In general, letters are not always issues in capital letters. So, you may replace the same.

To further simplify your role, you can download and then ask the bank personnel to provide details in handwritten format.

9. Proof of funds description

Whether you are asked to provide proof of funds or you are providing one, you should always know the terminologies involved so you can use the template effectively.

To gain hands-on knowledge in this subject, the following editable document provides a gist on this proof nature along with supporting information so you know how things work.

Later, you can customize one of the templates above and use them appropriately.

Do’s and dont’s in proof of funds letter

As proof of funds letter holds huge value in banking transactions and approving a request legally, you need to be aware of mandatory procedures and common mistakes involved.

  • A proof of funds letter holds invalid if you do not append a bank statement substantiating the amount mentioned in the letter. Verifying the authenticity of facts and figures is important.
  • The signature of an authorized dignitary from the bank needs to be affixed in the letter. This is to maximize the trustworthiness of the information present in it.
  • You need to know what information to disclose and what not to. In an aim to maximize transparency, it is inappropriate and discouraged to share sensitive information pertaining to the account holder.
  • You, as a bank employee, should cross-check every detail with the internal record and provide a relevant statement. Sometimes, inappropriate or insufficient verification ends up in ethical violations that can hamper the reputation of the brand. Most importantly, provide an account verification letter confirmation to the account holder so that you take the informed consent and cross-check appropriately.
  • While providing proof of fund, using an official paper is essential. A notary paper enhances professionalism and also asserts the truthfulness associated with the information. Never use an unofficial paper to provide the proof as it can be discouraged by other authorities.

Ways to increase proof of funds

If the line of credit is insufficient to take a loan, you can explore a few other ways to enhance proof of funds.

  1. Make use of your provident fund to obtain the loan and then use the time to improve your fund limit.
  2. If you are in a plan to raise funds, you may have to plan it at an earlier time so you can fetch additional income as well as be prepared for achieving the desired fund limit.
  3. You can also organize a garage sale to get some quick money and improve the fund value of your bank account.
  4. Last but not the least, you may try out to get money from your friends and family if there is an immediate need or if it is small-value money.

Conclusion

Proof of fund letters is highly valued as they influence the decision-making process of a financial institution. The key to providing a good line of credit is to plan earlier.

When you prepare the proof of fund letter, ensure that you go through every detail in it.

Alternatively, you may save your time and have some peace by using the trustworthy templates listed in this post. These are already in use by professionals and include every detail required to successfully complete the transaction.

Sara Beasley

Sara is a mom who loves to share useful stuff on this blog related to homeschooling and other daily use things such as templates.

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