Nowadays, people often send their money electronically. Mobile banking options allow account holders to handle everything from budgeting and bank statements to credit cards and direct deposits right from their phones.
Still, you may need to send a physical check to someone from time to time. Plus, knowing how to write a check in your checkbook is a crucial business skill, whether you’re an employer and need to pay your employees or want to send money to another organization.
This resource provides step-by-step instructions on how to fill out a check.
Contents
Before you get started
Before writing checks, make sure you have a legitimate check by checking for critical information. A check must have:
- A routing number in the lower left corner, representing the specific branch of a financial institution.
- Next to it an account number. This is the bank account that the check and debit card are most likely associated with.
- A check number next to the account number.
If your paper checks do not contain this information, contact your online banking institution or check registry for more information.
Step 1: Write down the date
Your first step is to write the check date in the top right corner. There should be a clear line for this information. You can write the date however you like, but in the United States most states follow the order of month, day, and year, such as 11/17/2022 for November 17, 2022.
Step 2: Write the the recipient’s name
The next step is to write the recipient’s name on the personal check. You can do this on the “pay in order of” line – the first long line on the surface of a standard check.
You must write the name of the person or company receiving the money from the check. Use the full name as you know it.
You can also just write “Cash” if you don’t know the name of the person or organization you’re paying. But this is risky because anyone can cash the check if you don’t designate a specific entity.
Related: Money, Business – The Risks of Accepting Checks
Step 3: Write the amount payable
Now it’s time to write down the amount to be paid in numbers. You will notice that there are two places to report how much money the check is worth.
Start by writing the number numerically in a small box on the right side of the check. You should write this down as clearly as possible; a good practice is to underline the pennies after the dollars so bank tellers can quickly read the information.
Next, you need to write the numerical amount of the check in words on the line below, “pay to the order of.” Write here the dollar amount that corresponds to the numerical dollar amount you already wrote.
For example, if you are writing a check for $100.12, write “One hundred dollars and twelve cents” on this line.
If you’re writing a check for a whole dollar amount with no cents, you should still include “no cents” or “00/100” for even more clarity. It’s never a bad thing to be as specific as possible when writing a check.
You can also write a blank check so that someone else can take over the writing process of the check once it’s recovered.
Step 4: Write the memo
You will see a “memo” line in the bottom left corner of the check. You don’t have to fill it out, but it can be helpful if you want to distinguish the intended use of the check. For example, you might write “utility bill” when you write a check to your utility company.
When you pay a bill with a check, the company may ask you to write your account numbers on the check memo section. By writing down your account numbers they know who is paying them and your account will be balanced quickly as they are unlikely to remember just your name.
Step 5: Sign the check
The last step is to sign the check on the line in the bottom right corner of the surface. Practice writing your signature a few times if you haven’t already.
Make sure to use the same signature you used when you opened the checking account. This tells the bank that you agree to pay the amount written once someone cashes the check.
What about the approval line?
On the back of the check, you’ll see one or more “approval” lines on one side. You do not need to enter anything in these lines.
Instead, the approval rules are for the person or entity depositing or cashing the check. They are supposed to sign the approval line to show that they accepted the check and took responsibility for the money.
Writing anything on the check may prevent it from being cashed by the intended recipient and ruin the whole process.
When do you use a check to pay someone?
Checks can generally be used and considered cash or debit.
For example, if you have a bill to pay your utility or another company, using a check is still a great way to do that. Checks are more secure than cash and businesses expect checks from many customers.
You can also use a check to pay someone a cash gift. Since checks must be cashed by someone with the recipient’s signature to match, any money you give to someone through a check is automatically more secure than giving a bundle of cash.
Related: It’s OK Entrepreneurs are still paying by check, but they need to stop mailing them
You can also use checks to give people money at a future date. If you put a check in the mail and stamp it for a specific date, the recipient will receive it only when you decide it’s appropriate.
Postmarking checks can be a great way to make sure the money isn’t taken out of your account before a certain point, like your next payday.
Later-dated checks can help avoid overdraft fees, so they can be good personal financial aids if your money needs to be carefully accounted for.
Related: 6 hidden ways paying by check hurts your business
Overview
Writing a check is fairly simple and only takes a short moment.
However, you can use this crucial skill hundreds or thousands of times in your life, and now you know how to write a check correctly.
To learn more about checks, payments, and skills you can learn as a business owner, visit businesskinda.com’s numerous guides and resources today.
Janice has been with businesskinda for 5 years, writing copy for client websites, blog posts, EDMs and other mediums to engage readers and encourage action. By collaborating with clients, our SEO manager and the wider businesskinda team, Janice seeks to understand an audience before creating memorable, persuasive copy.