Skip to content

Salary Transfer Letter (STL) Format for 2024

Salary Transfer Letter Format uae

Salary Transfer Letter Format for 2024

A Salary Transfer Letter (STL) is a document used when an employee requests their employer to transfer their salary to a new bank account. This letter serves as a formal request and provides the necessary information for the employer to update their payroll records. Below is a general format for a Salary Transfer Letter:

[Your Name]
[Your Address]
[City, State, ZIP Code]

[Employer’s Name]
[Company Name]
[Company Address]
[City, State, ZIP Code]

Dear [Employer’s Name],

I hope this letter finds you well. I am writing to inform you that I have recently opened a new bank account and would like to request the transfer of my salary to this account, effective [desired date, usually the next payroll cycle].

Here are the details of my new bank account:

Bank Name: [New Bank Name]
Account Holder Name: [Your Full Name as per Bank Records]
Account Number: [Your New Account Number]
Branch: [Bank Branch Name, if applicable]
Routing Number (if applicable): [Routing Number]

I kindly request you to update your records accordingly and initiate the necessary procedures to transfer my salary to the new account starting from the mentioned effective date. I have attached a copy of my new account details for your reference.

If there are any specific forms or procedures required on my part, please do not hesitate to inform me, and I will promptly address them.

I appreciate your prompt attention to this matter and thank you in advance for your cooperation.


[Your Full Name]
[Your Employee ID, if applicable]
[Your Contact Information]

[Attach a copy of your new bank account details]

Note: This is a general template, and you may need to customize it based on your specific situation and company policies. It’s advisable to check with your HR department for any specific requirements or procedures related to updating salary transfer details.

Salary Transfer Letter (STL) Format for 2024

salary transfer letter is basically a letter issued by an employee’s company, where the employer in a company addresses a letter on the company’s letterhead, mentioning that salary of the employee mentioned in the letter would be credited only to the bank, which will approve the loan.

In a work setting, be it for public or private purposes, it is inevitable that the position and status of employees also change.

An example of change is the transfer of employees from one station to another. In this case, such transfer may change the compensation, benefits, and responsibilities of the said employee.

STL standard Chartered Bank

Correspondingly, we have salary transfer templates that you can use to perform such procedures. They are of high quality and definition.

They are also easy to use and download. To learn more about them, see our list of templates, salary samples, and guides.

If you are looking for other letter templates for specified transactions, we also have templates in store for you.

For Citibank Download PDf Format

What is the Salary Transfer Letter (STL)?

This is a letter that your employer will address to the CBD. STL is a commitment by your employer to CBD that your salary will be deposited in your designated account with CBD until you have fully paid the CBD personal loan.

Citibank UAE Careers

The letter will also include other conditions as agreed between your employer and the CBD. This letter should be prepared on your employer’s letterhead.

In a format that is approved by the CBD and specified by your employer and notified to the CBD will be duly signed by the authorized signatories.

Emirates Islamic Bank PDf Download

It is a letter issued by a company of employees, in which the employer mentions in a letter with a company’s letterhead that an employee’s salary will be deposited in a certain bank.

The status and designation of an employee are likely to change over the years where he is working in a private job or in the public sector.

Following are the banks that list ‘STL’ as one of their requirements while giving a loan:

  • Arab Bank: While availing of a personal loan from Arab Bank, the bank will ask you to submit a salary transfer letter.
  • CBI: CBI will ask you to submit a salary transfer letter while availing of a personal loan from their bank.
  • Noor Bank: Noor bank also joins the list of banks to list ‘salary transfer letter’ as one of their minimum requirements to avail a personal loan.
  • HSBC UAE: HSBC UAE also asks you to provide a salary transfer letter with them to avail a personal loan.
  • First Abu Dhabi Bank: FAB also asks you to provide salary transfer letter for their loans like a personal loan and Buyout loan
  • Emirates NBD: Emirates NBD also asks to provide a salary transfer letter for all the salaried employees, while availing a loan.
  • CBD: There is a requirement for a salary transfer letter in CBD.
  • RAK Bank: RAK Bank also follows the norm of asking for a salary transfer letter.

When do you require a salary transfer letter?

A salary transfer letter is like a commitment or a promise on the part of an employer to your bank, that the salary of the employee would be credited to the bank until the loan is completely repaid.

The letter will also contain some terms and conditions agreed upon between your employer and the bank.

Salary transfer letters are one of the most documents when an employee is applying for a salary transfer loan or a Personal loan in UAE.

When you avail of a salary transfer loan, you need to take the entire amount that you earn and place it in the bank where you have taken the loan, which has to be done in the salary transfer letter format.

You need to have an agreed amount placed into the bank, every time you receive payment. You need to mention the entire amount of your salary in the salary transfer letter.

For All Other Banks

Difference between transfer letter and transfer request

Whenever an employee of a company or organization is being transferred to another department or branch, a transfer letter is made.

It is part and parcel of the transition process, especially while assuring that changes in the salary of the employee are also taken into consideration. But a transfer letter is not synonymous with a transfer request. Here are some of its differences:

A letter of transfer is only considered as a petition in favor of an employee accepting his request to transfer to a different department, office, or branch.

On the other hand, the pay transfer letter is an official notice indicating a relevant change in the office where the employee is working and working.

In terms of formality, the structure and format of the payment transfer letter should be professional and official than requested.

It should be brief and concise. In addition, all relevant records and files of the employee must also be processed and transferred.


A transfer letter refers that the one that is issued to employees when they are transferred to other branches or departments of the same organization. The main reasons are:

  1. Complete the organization’s written procedures
  2. Record the personal files transferred from one branch/department to another.
  3. To ensure that individuals who have been transferred their payroll accounts also indicate changes.
  4. Reduce the total number of one department and increase the total number of other departments.

The transfer letter is a formal letter, but it can be decided by the organization or by the agreement reached between the employees and the organization.

When most organizations receive an offer confirmation letter from their employees, they also include a clause that stipulates that employees can accept the idea of transferring it to any branch or department of the organization when necessary.

Transfer letters should be brief and simple. Because this is an internal letter, it does not need to be very detailed. Basically, the name of the person to be transferred, the departure department, the effective date of the transfer, and the name of the person to be reported after the transfer should be given.

Format for 2020 A salary transfer letter

A salary transfer letter is sent to a bank by the finance department or manager of a company addressing that the salary of an employee would be deposited in that particular bank.

We support you and your HR or Finance department by providing this Employee Salary Transfer Letter, which will help you to create a perfect overview of employees, their bank account numbers, the amounts of salaries, etc, and send to the bank on a monthly basis. This will save you or your HR department time, cost, and efforts and help you to smoothen operations.

After the letter is received, the bank will deposit it to any other bank or any other account unless this bank provides a clearance certificate. This Employee Salary Transfer Letter is created by HR professionals. It is intelligently structured and easy-to-navigate.

This template will perfectly suit your needs! And after downloading you can craft and customize every detail of its appearance very quickly.

Personal Loan EMI Calculator

How do I write a letter of salary transfer?

In consideration of your granting such a facility to the above, we, at his / her request hereby irrevocably undertake to transfer his / her salary of AED _________ to his / her account number ___________________ effective from _(current date)________________ until the loan/finance has been paid in full.

What is a STL letter?

What is Salary Transfer Letter (STL)?

What is employee salary transfer?

The accountant or person in charge directly transfers the salary to the employee’s bank account through an account transfer. This salary payment method is the most commonly adopted forms of salary payments across midsized and large organizations.

What is a salary transfer?

A salary transfer means your employer will give an undertaking to the bank that if you were to leave employment for whatever reason (e.g. if you lost your job, moved to another job or even moved outside of the UAE), that any end-of-service gratuity would go to the bank where the salary transfer is being made.

What is Salary Transfer Letter (STL)?

It is a letter that your employer will issue addressed to CBD. STL is a commitment by your employer to CBD that your salary will continue to be credited in your designated account with CBD till the time you have fully re-paid the CBD Personal Loan. The letter will also include other terms as agreed between your employer and CBD. This letter must be prepared on your employer’s letter head, in a format that is approved by CBD and shall be duly signed by authorised signatories as designated by your employers and as notified to CBD.

Salary Disbursements / Payment – Choosing Methods of Payment

Once the salary sheet is prepared, the Net amount of Salary or Wage payable can be disbursed to employees and/or labourers using any of the following modes of payment:

  • Credit to employees’ account
  • Direct Debit Statement
  • Cheques
  • Demand Draft (DD)
  • Cash payments
  • Digital wallets
  • Unified Payments Interface (UPI)
  • National Electronic Fund Transfer (NEFT)
  • Immediate Payment Service (IMPS)
  • Real-Time Gross Settlement (RTGS)

Credit to employees’ account

Small Organizations adopt this form of payment where the employee count is a handful (less in number). The accountant or person in charge directly transfers the salary to the employee’s bank account through an account transfer.

Direct Debit Statement

This salary payment method is the most commonly adopted forms of salary payments across midsized and large organizations. Today, with the advancement of technology, most organizations follow the direct debit system. Under this, a Statement of amounts payable to employees is drawn and sent to the company’s banks for disbursal. Banks also have tie-ups with companies, which extend salaried accounts to employees. This method ensures quick and hassle-free salary payments.

Cheque payments

Organizations not opting for the above two facilities prefer cheque payments to keep a trail of salary expenses. This method is also adopted for the first month’s salary payments to newly joined employees, where formalities relating to the opening of salaried accounts are time-consuming. The delay in time could be in reasons ranging from inadequate proofs submitted for opening accounts, or mismatch in employees’ details. Cheques can be sent to the company’s bank account for payment or handed over to the employees in person to be deposited in their bank accounts.

Demand Draft

Payment to outstation employees with no salaried account is made with Demand Draft (DD). DD’s are also issued during emergencies when the employee needs cash, and cheque clearances could take more time.

Cash payments

Cash payment is a preferred way of salary disbursement in the unorganized sector. Mostly where contract workers, semi-skilled or unskilled workers are employed. Employees working in unorganized sector prefer cash payments over other methods. Cash Payments enables these employees to meet their daily needs instantly. The salaries range around the minimum wage prescribed or a little more than that. Employers ensure to get the signature or thumb impressions of workers in a salary register, as proof validating the salary payment made in cash.

Digital wallets

Facilities of secured and encrypted Digital wallets are available today. Various service providers develop applications. Services by many banks offer facilities of National Electronic Funds Transfer (NEFT), Real Time Gross Settlement (RTGS) and Immediate Payment Service (IMPS). Other examples of Digital wallets are Unified Payments Interface (UPI), Paytm, Phonepe, Google pay etc.

Unified Payments Interface (UPI)

Unified Payments Interface (UPI) is an instant real-time payment system facilitating inter-bank transactions. The interface is regulated by the Reserve Bank of India and works by instantly transferring funds between two bank accounts on a mobile platform. The UPI system powers multiple banks account into a single mobile application (of any participating bank), merging several banking features.

National Electronic Fund Transfer (NEFT)

National Electronic Fund Transfer (NEFT) is a countrywide electronic fund transfer system for sending money from one bank account to another. Amounts up to Rs.2,00,000 can be transferred via National Electronics Fund Transfer (NEFT) facility.

Immediate Payment Service (IMPS)

Immediate Payment Service (IMPS) is an instant payment inter-bank electronic funds transfer system in India. IMPS offers an interbank electronic fund transfer service through mobile phones. The service is available 24×7 throughout the year, including bank holidays. Amounts up to Rs.2,00,000 can be transferred via Immediate Payment Service (IMPS). The transfer happens instantly and is faster compared to National Electronics Fund Transfer (NEFT).

Real-Time Gross Settlement (RTGS)

Real-Time Gross Settlement, abbreviated as (RTGS) are specialist fund transfer systems where the transfer of money or securities occurs from one bank to any other bank on a ‘real-time’ and a ‘gross’ basis. Transfer of funds over Rs.2,00,000 are done through this method.

UAE credit card