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You should be able to:

Identify the different parts of a personal check

Complete a personal check Endorse a personal check Learn how to remotely deposit a

check using a smart phone

Check Lingo

A personal check is a written form that states a written amount to withdraw directly from the payer’s account.

Check Lingo

A payee is a person to whom money is owed to (receiving)

A payer is a person who pays money (giving)

Check Lingo

A routing number is a nine digit magnetic code that identifies the financial institution who must pay funds. (the payer’s bank)

A bank account number identifies the payer’s bank account.

Check DetailsCheck Details11 22 33 44 55 99887766 11

00

This is the Routing Number for your bank (used for This is the Routing Number for your bank (used for electronic transfers of funds from your account to the electronic transfers of funds from your account to the payee’s account)payee’s account)

This is your Account Number. (Note that sometimes these two This is your Account Number. (Note that sometimes these two numbers are the reverse of what is shown here.)numbers are the reverse of what is shown here.)

This is just your check number again (see above right).This is just your check number again (see above right).Here is where you write the name of the party you are Here is where you write the name of the party you are writing your check to (the payee). Be sure to write or print writing your check to (the payee). Be sure to write or print legibly!legibly!

On the lower line, write out the amount like this.On the lower line, write out the amount like this.Legibly print the amount of money this check is for. Legibly print the amount of money this check is for. Enter the date you write each check.Enter the date you write each check.Place to add any information you want to related to this check.Place to add any information you want to related to this check.Put your personal signature here.Put your personal signature here.Make sure your personal information on the check is correct.Make sure your personal information on the check is correct.Here is the number of this Check.Here is the number of this Check.

1111

5-F5-F

Click the numbers

John M. Smith

Withdrawing a lot of cash? ATMs have a cash withdrawal limit

(usually $500), In order to withdrawal larger amounts of cash you will need to: Complete a withdrawal slip inside the

bank OR Make a check out to “cash”

Security Issues with “Cash” Since making a check out to “cash” does

not designate a persons name, anyone can cash this check if it got into the wrong hands.

Making a check out to your name will serve the same purpose and better prevent someone else from cashing your check.

Endorsing a Check

An Endorsement is a signature on the back of a check to approve it to be deposited or cashed A check must be endorsed to be deposited

Three types of endorsements:

Blank Restrictive Special

Blank EndorsementBlank EndorsementAn endorsement consisting only of the endorser’s signature.

Restrictive Endorsement.Restrictive Endorsement.An endorsement restricting further transfer of a check’s ownership.

When a check is received, it is restrictively endorsed to prevent unauthorized persons from cashing the check if it were to become stolen

Special EndorsementSpecial EndorsementAn endorsement indicating a new owner of a check. (a.k.a. 3rd party)

Pay to the order of the new owner. Then you sign to authorize

Deposit

Remote deposit is the use of a computer scanner or mobile phone to scan images of checks and deposit them electronically.

http://www.youtube.com/watch?v=HkioFHsz9iA

Endorse this check using a blank endorsement.

Endorse this check using a restrictive endorsement.

Endorse this check using a special endorsement to your friend Mark Johnson.

Cashier’s Check v. Money Order More expensive transactions may

require you pay for an item using a cashier’s check instead of cash or even a regular check. A cashier’s check requires a bank to

draw on its own in-house funds but also charge a service fee (usually $10) to the customer

A cashier’s check is proof to the payee that the funds are fully backed

A money order is meant for someone who does not have a checking account and who wants to send a payment through the mail

You must present cash to the cashier who will then convert your cash into a money order

Money orders usually have a limit of $1,000 and charge a fee of $1.00-$2.00

Can be processed at post offices, grocery stores, and convenience stores

Cashier’s Check v. Money Order