When you want to apply for a car loan or to avail of a home loan, the bank may ask for a specific document, and that is your salary certificate. A salary certificate is a document issued by an office head to his/her employee upon request. The document should mention the reason for the request. When the management approves the request, the certificate will be issued and used for loan applications to any financial institution.
An employee can have a monthly salary certificate or annual salary certificate. But, they should also know the differences between a salary certificate, salary certificate letter, and salary letter. A Salary certificate letter is also like a salary certificate. But, it specifically addresses a particular financial institution for acquiring car loans or home loans and can't be submitted to another financial institution. While a salary letter is a form of request letter from an employee to the office head requesting a release of his/her salary. Making these certificates will be a hassle. For you not to be confused, make sure to choose a suitable format and template for each one of them.
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