Transaction of money can often be an inconvenient process. What’s more inconvenient? Not having enough funds ready!
A great way to avoid such an inconvenience is to use a cashier’s check. It is a valuable alternative to a personal check and comes with many benefits. Many people don’t know how to use a cashier’s check properly. And so, we have come up with this guide.
So can you deposit a cashier’s check at an atm?
Yes, you can deposit a cashier’s check at an ATM. All you got to do is insert your ATM card on the machine and select the “deposit” option. Make sure you use the ATM of the bank concerned with the deposit.
How Does A Cashier’s Check Work?
Before getting to know how a cashier’s check works, you have to understand what it is.
A cashier’s check is a check that is drawn from the bank’s own account rather than yours. This means that whenever you make a payment using that Check, it will be extracted from the bank’s own funds. For a cashier’s Check to be active, it has to be signed by a cashier.
Then comes the process of getting a cashier’s Check. To get such a check, you either have to bring money to the bank (if you don’t have an account) or transfer the money present in your current account to the bank’s own account. Then, the bank will be bound to pay the money to the recipient upon cashing the check.
So how does it work? Whenever you make a payment using the cashier’s check, the bank will check the funds in your account first. If you have the necessary funds to make the payment, it will transfer your funds to its own account. Lastly, it will issue a payment using its own account number and pay the recipient.
Advantages & Disadvantages Of Cashier’s Checks
Undoubtedly, a cashier’s check can prove to be useful. However, there are both advantages and disadvantages of using cashier’s checks.
Some of the advantages of a cashier’s Check are:
Fixed Asset
A cashier’s check can be deemed equivalent to money, which is a secure and liquid financial asset.
Guaranteed Payment
Once you create a cashier’s check, the bank will guarantee you payment. The payment only has to be valid and legal.
Available Funds
If you use a personal check, you may or may not have the funds required to make the payment. But unless any adversity arises, a bank account always has enough funds.
Some of the disadvantages of a cashier’s check are:
Scam
Cashier’s checks are often used as a tool to carry out different kinds of scams.
Cancellation Difficulties
If you use a personal check, you can easily cancel it yourself or by contacting the bank. But it is difficult to do so using a cashier’s check.
Cashier’s Check Vs. Certified Check Vs. Money Order
All three kinds of checks – cashier’s check, certified check, and money order, are different from one another.
A cashier’s check is such a check that allows you to draw money from the bank’s own account. To create such a check, you must contact the bank and pay a certain fee. A certified check, on the other hand, draws money from your own account. However, like a cashier’s check, it too is issued through a bank.
The money order is slightly different from both of these check types. It is a prepaid check, and it is also available at places other than banks. Cash-checking centers, post offices, etc., distribute money orders as well.
Safety Measures While Using Cashier’s Checks
Since cashier’s checks are quite prone to be stolen or used for conducting scams, it is essential to take some safety measures while using them. Here’s what you should do:
Pay Attention to Details
A check contains many details, including the information of the bank. Pay close attention to these details.
Engage with Authentic Recipients
To be safe, engage with agencies or individuals who are trustworthy and involved only in legal activities.
Verify the Check Beforehand
Just like the recipient, verify whether the check you are accepting is authentic or not. You can do so by contacting the bank issuing the check.
Keep Track of the Check
While it may sound like a simple measure, this is the most important one. Processes can get really messy with the bank if you lose your check. So, remember to keep track of it.
Frequently Asked Questions
- When can I spend the money from a check I have deposited?
The good thing about cashier’s checks is that you can spend the money from such a deposited check almost immediately. In most cases, it is possible on the very next day.
- Can you submit cashier’s Check at the ATM and then withdraw the money without creating an account?
No, you cannot do that. You would need an ATM card to do so, and a bank account is the prerequisite of an ATM card.
- How can I cash a cashier’s check without a bank account?
Without a bank account, there are a few places where you can cash a cashier’s check. The issuing bank, convenience stores, cash-checking centers, etc., are such places.
- When to use a cashier’s Check?
You can use a cashier’s check when you want funds immediately or when you want a secure payment.
- Where can I deposit a cashier’s Check after hours?
After hours, you can deposit a cashier’s Check in the respective ATM of the issuing bank.
Conclusion
Hope this was a helpful guide for you and answered the question, can you deposit a cashier’s check at an atm.
Use your cashier’s check with caution and follow our suggested safety measures. Best of luck!
