Document background
The Mortgage Authorization Letter is a critical document in Swiss property financing that formally grants a financial institution the authority to proceed with mortgage-related actions. It is typically required when a property owner needs to authorize a bank or financial institution to process a mortgage application, modify existing mortgage terms, or handle mortgage-related matters on their behalf. Under Swiss law, particularly the Swiss Civil Code (ZGB) and banking regulations, this authorization must be explicit and meet specific formal requirements. The document includes essential details such as the property information, scope of authorization, and various declarations required by Swiss banking and property laws. It serves as a protective measure for both the authorizing party and the financial institution, ensuring clear documentation of the granted permissions and their limitations.
