Cashiers Check Vs Money Order

You can also purchase an indemnity bond from select insurance companies, but it’s not easy to get one, so safeguard the cashier’s check like you would cash. A money order is another form of payment that provides more security than a personal check. Here’s how a cashier’s check differs from a personal check, certified check or money order, as well as how to get one and when you might need to. A cashier’s check is a type of payment that offers guaranteed funds to the recipient. It’s often used for high-dollar transactions, such as buying a car or making a down payment on a house. Many banks will require you to have an account with them in order to get a cashier’s check.

Once you have the check in hand, make sure to also ask for a receipt, which may be helpful if you need to track the check or if it goes missing. If you want to withdraw the funds for a cashier’s check, though, you may be required to provide some form of identification. Cashier’s checks are often required when you are making large purchases in which the seller needs a high level of certainty that the check won’t bounce. If you’re looking to send a smaller amount of guaranteed funds to someone (less than $1,000), a money order could be a better option.

Cashier’s Check Fees

The Federal Deposit Insurance Corporation issues warnings of fake cashier’s checks. Postal Inspection Service, your local protection agencies, or the Internet Crime Complaint Center. Always get a receipt for a cashier’s check to protect yourself in case it is lost or stolen.

Writing a Cashier’s Check

But some may be willing to issue one if you bring along the cash with you to cover the cashier’s check and fee. Also, keep in mind that the bank you choose may charge a higher cashier’s check fee to non-customers. You can cancel a cashier’s check that you purchased if you still have it in your possession. You’d need to take the check back to the bank and request a cancellation. If you send a cashier’s check to someone else, there’s typically nothing you can do to cancel the payment.

Where To Get a Cashier’s Check

The bank’s information, including the bank name, account number and routing number should be listed on the front of the check. Cashier’s checks may also include watermarks to identify them as legitimate financial instruments. While having a bank account is generally required to get a cashier’s check, some institutions may offer options for non-account holders for an additional fee. You may often cash a cashier’s check without needing a bank account, though some institutions may charge a fee if you do not have an account with them. A merchant or payee who wants to avoid the risk of a counterfeit check or a check bouncing may require a cashier’s check for its security and guarantees.

• Now you may also find that you need to accept a cashier’s check for your business.
• Cashier’s checks offer payees the benefit of being paid reliably and immediately.
• If you go to your bank, they can draw funds for a cashier’s check from your account.
• The fee to purchase a cashier’s check can range from $6 to $15, but it’s typically around $10.

Even if you’re not a customer, you can still try walking into a branch and asking for a cashier’s check. If it’s inconvenient for you to visit a bank, many supermarkets, pharmacies and convenience stores also sell cashier’s checks. An individual can use a cashier’s check instead of a what is a cashiers check personal check to guarantee that funds are available for payment.

Because cashier’s checks usually have watermarks and require signatures from one or more bank employees, the bank has a reassurance that the check won’t be counterfeited. You don’t have to worry about sharing your personal checking account information with the payee, as the check isn’t drawn from your account. A cashier’s check is a check that is drawn on a bank’s funds rather than your own personal funds. It offers a secure way to pay in situations where a personal check is not appropriate, such as real estate transactions. What makes a cashier’s check different from a personal check is the guarantee.

Postal Service or a retailer like Walmart, and not a bank or credit union. A certified check may be a good option when the purchase is large enough that you can’t use a money order, and using cash or a personal check would be impractical. When you ask for a cashier’s check, the bank will withdraw the money from your bank account and to the bank’s own funds. The bank guarantees your recipient will get the payment for the full amount. To get a cashier’s check, you’ll need to provide the personal information of your check recipient.

Certified Checks

When you request a cashier’s check to pay a business or person, the financial institution first checks your account to make sure you have the amount you need to pay available. That amount is then withdrawn from your account and deposited into the bank’s account. Bankrate.com is an independent, advertising-supported publisher and comparison service. We are compensated in exchange for placement of sponsored products and services, or by you clicking on certain links posted on our site. While we strive to provide a wide range of offers, Bankrate does not include information about every financial or credit product or service.

Performance Checking (reduced $5 fee), Performance Select Checking and Foundation Checking customers. Scott Birrenkott, director of legal at the Wisconsin Bankers Association says to see if there’s anything suspicious about the item. The fraudsters are good, but the bank’s logo or ink could tell you there’s something off about the item. Here’s how much it costs to purchase a money order at several different places. Some of the links on our site are from our partners who compensate us. If you’re receiving the check in the sale of a car or something else that’s valuable, consider making the sale contingent upon the check clearing instead of when the buyer hands it to you.