{"id":1212247,"date":"2023-12-14T15:00:00","date_gmt":"2023-12-14T20:00:00","guid":{"rendered":"https:\/\/www.prime-wow.com\/?p=1212247"},"modified":"2023-12-14T15:00:00","modified_gmt":"2023-12-14T20:00:00","slug":"all-the-times-you-should-be-using-a-cashiers-check-but-arent","status":"publish","type":"post","link":"https:\/\/www.prime-wow.com\/?p=1212247","title":{"rendered":"All the Times You Should be Using a Cashier\u2019s Check (but Aren\u2019t)"},"content":{"rendered":"<p>There was a time when <a href=\"https:\/\/lifehacker.com\/the-beginners-guide-to-checks-1843347581\" target=\"_blank\" rel=\"noopener\">writing a check<\/a> to buy things was so common it was a skill taught in elementary schools. Today, <a href=\"https:\/\/www.washingtonpost.com\/business\/2023\/09\/15\/paper-checks-who-uses\/\" target=\"_blank\" rel=\"noopener\" title=\"(opens in a new window)\">less than 5%<\/a> of all transactions involve a <a href=\"https:\/\/lifehacker.com\/types-of-checks-you-should-never-cash-1851011208\" target=\"_blank\" rel=\"noopener\">paper check<\/a>. We tend to buy everything using credit cards, cash apps, and digital payments, which means the age of writing hilarious jokes on the memo line of a paper check is over, which is sad.<\/p>\n<p>But not all paper checks have gone the way of the dinosaurs. There are still scenarios when you not only can use an old-timey paper check, but you probably should\u2014not a basic personal check, but a cashier\u2019s or certified check. While you probably won\u2019t need one of these checks often in your life, there are some definite scenarios when they are still your best choice.<\/p>\n<h2>Cashier\u2019s and certified checks<\/h2>\n<p>There are subtle but important distinctions between a cashier\u2019s check and a certified check, though they are typically used in very similar ways:<\/p>\n<ul>\n<li>\n<p><a href=\"https:\/\/www.bankrate.com\/banking\/checking\/what-is-a-cashiers-check\/\" target=\"_blank\" rel=\"noopener\" title=\"(opens in a new window)\"><strong>A cashier\u2019s check<\/strong><\/a> is a check that draws from a bank or credit union\u2019s funds, not your personal funds (like a personal check does). These checks typically have a lot of security features (watermarks, signatures from bank officers) to ward against counterfeiting. You have to give the bank the funds covered by the check, plus any fees\u2014basically, you\u2019re kind of \u201cbuying\u201d the check from the bank, and the bank then pays out on the check when it\u2019s presented.<\/p>\n<\/li>\n<li>\n<p><strong>A certified check<\/strong>, on the other hand, draws on your account, not the bank\u2019s. It\u2019s typically a <a href=\"https:\/\/www.investopedia.com\/personal-finance\/certified-check-vs-cashiers-check-which-safer\/\" target=\"_blank\" rel=\"noopener\" title=\"(opens in a new window)\">little less secure<\/a> and easier to fake than a cashier\u2019s check. The bank certifies that the money is in your account to cover the check. Whereas with a cashier\u2019s check you have to splash out the money immediately, with a certified check the money remains in your account until the check is cashed.<\/p>\n<\/li>\n<\/ul>\n<p>The choice of a certified or cashier\u2019s check comes down to the fees you have to pay and the need for security. But when would you need one of these?<\/p>\n<h2>When you need one<\/h2>\n<p>In general, a certified or cashier\u2019s check can be used any time cash, credit, or digital payments aren\u2019t possible\u2014or advisable. Examples include when a merchant won\u2019t accept credit cards (typically because of the high fees), or when you\u2019re buying or selling a big-ticket item like a car with someone you don\u2019t know. The classic example is selling a used car to someone: You probably can\u2019t accept a credit card, and if they pay you with a personal check you might deposit it only to have it bounce. In that scenario you\u2019re out a car <em>and<\/em> the money. A certified or cashier\u2019s check makes that outcome much less likely.<\/p>\n<p>There are other scenarios that call for a cashier\u2019s or certified check: While a money order is usually a cheaper alternative for smaller transactions that fall into this category, getting money orders for <a href=\"https:\/\/www.usps.com\/shop\/money-orders.htm\" target=\"_blank\" rel=\"noopener\" title=\"(opens in a new window)\">amounts over $1,000<\/a> is usually a challenge, which leads to purchasing multiple money orders at extra expense. A cashier\u2019s or certified check is a better alternative, especially if your bank will issue one without a fee.<\/p>\n<p>Finally, a cashier\u2019s check or certified check can give you an advantage when buying or making down payments on big-ticket items because it\u2019s like paying cash or being pre-qualified for a mortgage\u2014the seller doesn\u2019t have to worry about processing fees or whether you actually have the money, because using these checks guarantees you have the funds. This can be compelling when you\u2019re offering less than listed price for something like a car, in the same way making a cash offer on a house can give you a discount on the sale price.<\/p>\n<h2>Precautions<\/h2>\n<p>Just because certified and cashier\u2019s checks are safe and secure ways to spend money doesn\u2019t mean things can\u2019t go wrong. If you plan to use one to buy something, keep the following in mind:<\/p>\n<ul>\n<li>\n<p><strong>They\u2019re difficult to replace.<\/strong> If you lose a cashier\u2019s check, your bank will not be amused. They can\u2019t simply cancel it and issue a fresh one like a regular check, and will probably require you to <a href=\"https:\/\/www.bankrate.com\/banking\/how-to-handle-a-lost-cashiers-check\/\" target=\"_blank\" rel=\"noopener\" title=\"(opens in a new window)\">wait 90 days<\/a> before declaring the check officially lost. The bank may also require what\u2019s known as an <a href=\"https:\/\/www.nerdwallet.com\/article\/banking\/cashiers-check-when-you-need-one-how-to-get-it\" target=\"_blank\" rel=\"noopener\" title=\"(opens in a new window)\">indemnity bond<\/a>, which transfers responsibility for the funds in the check from the bank to you. That means if the first check turns up somewhere and is cashed, <em>you<\/em> pay it out, not the bank. An indemnity bond can cost you as much as 15% of the value of the check.<\/p>\n<\/li>\n<li>\n<p><strong>Counterfeiting does happen.<\/strong> The big risk with a cashier\u2019s check is that most people are unfamiliar with them, which makes creating a <a href=\"https:\/\/www.occ.gov\/news-events\/news-and-events-archive\/consumer-advisories\/consumer-advisory-2007-1.html\" target=\"_blank\" rel=\"noopener\" title=\"(opens in a new window)\">realistic fake<\/a> relatively easy. If someone offers a cashier\u2019s check to you, you should contact the issuing institution to ensure its authenticity.<\/p>\n<\/li>\n<li>\n<p><strong>Delays.<\/strong> Getting cashier\u2019s and certified checks can sometimes be a lengthy process taking several days. If you\u2019re trying to move fast on a transaction, that could be a problem.<\/p>\n<\/li>\n<li>\n<p><strong>Fees.<\/strong> As mentioned, banks sometimes charge fees for issuing these checks, and may not be willing to do it at all if you don\u2019t have an account with them. Typically these fees are pretty small, <a href=\"https:\/\/www.key.com\/personal\/banking101\/cashiers-vs-certified-checks.html\" target=\"_blank\" rel=\"noopener\" title=\"(opens in a new window)\">about $10-$15<\/a>, but it\u2019s still extra money you might not want to spend.<\/p>\n<\/li>\n<\/ul>\n<p \/>&#013;<br \/>\n&#013;<br \/>\nSource: LifeHacker &#8211; <a href=\"https:\/\/lifehacker.com\/money\/when-you-should-use-cashiers-checks\" target=\"_blank\" rel=\"noopener\">All the Times You Should be Using a Cashier\u2019s Check (but Aren\u2019t)<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>There was a time when writing a check to buy things was so common it was a skill taught in elementary schools. Today, less than 5% of all transactions involve a paper check. We tend to buy everything using credit &hellip; <a href=\"https:\/\/www.prime-wow.com\/?p=1212247\">Continue reading <span class=\"meta-nav\">&rarr;<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"ngg_post_thumbnail":0,"footnotes":""},"categories":[91,110],"tags":[92],"class_list":["post-1212247","post","type-post","status-publish","format-standard","hentry","category-lifehacker","category-unfiltered-rss","tag-lifehacker"],"_links":{"self":[{"href":"https:\/\/www.prime-wow.com\/index.php?rest_route=\/wp\/v2\/posts\/1212247","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.prime-wow.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.prime-wow.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.prime-wow.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.prime-wow.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=1212247"}],"version-history":[{"count":0,"href":"https:\/\/www.prime-wow.com\/index.php?rest_route=\/wp\/v2\/posts\/1212247\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.prime-wow.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=1212247"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.prime-wow.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=1212247"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.prime-wow.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=1212247"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}