How to Verify Your Check Before Depositing

Checks are, in most cases, used to make large payments. However, you cannot tell whether a check is bad just by looking at it. The check will bounce if the check writer does not have enough funds available when you present the check to the bank.

In case your check bounces, your check will be worthless and you’ll be charged some fees by your bank. It will take more time and money to get your funds.

What to Look Out for in a Check

Fortunately, there is a way to check the validity of a check before accepting it. For instance, you can try to deposit any checks you are suspicious of at your bank.

While you can’t be certain whether the check is good, you’ll get some valuable information (and in some cases a guarantee) that will be helpful when deciding what to do with the check.

Here are some items to check on:

•         Is the check legitimate or not?
•         Does the checking account have available funds?
•         Does the payer have a history of bouncing checks?

How to Verify Funds in a Checking Account?

If you’re doubting a check in your hands, we would advise you to try verifying funds in the account. You can do that by contacting the bank that the check is drawn on and ask for verification of funds.

Some banks, however, may not be willing to provide that information due to privacy matters and so you may not get much information even after calling.

Others will inform you if the funds available in the checking account is enough to cover the check.

Obviously, the information you get is just a “snapshot” of the funds available in the account at the time you’re checking. The account could be hit by other charges, or the account holder makes a withdrawal after you hang up.

Be sure to deposit the check immediately you find out the check is good and are able to verify the funds.

If you’re unable to verify the fund or want to be extra cautious, you can take the check to a bank branch the funds are drawn on. You can cash the check there immediately, if possible, and thus eliminate the likelihood of the check bouncing. If you’re unsure what bank to contact, check at the bank of the check for related information.

How to Identify a Genuine Check?

Even if you succeed to verify whether the account has funds available, there is the likelihood that the check you’ve received is fake. With modern technology, people can copy a real check and print a check that appears genuine but is fake. This makes the check to be returned after depositing it due to fraud.

Be sure to verify every check you get to ensure it’s good. If you have any reason to doubt the check, it is better not to accept the payment. Most checks come with multiple security features detailed on the back of the checks. Consider looking at the following:

•         A security screen on the back of the check
•         Any discoloration or smudges, which is an indication that the check was altered
•         Microprinting on the signature line as well as everywhere on the check
•         The words “Original Document” on the back of the check

Having that you’ve verified security features on a check doesn’t mean it is foolproof. Some con artists can buy genuine checks and use another person’s account number.

The amateur-looking checks will rarely bounce. Some genuine check writers also consider printing their own checks or buying business checks from online stores. However, if you notice anything suspicious, it is better to evaluate the situation more.

A Database of Bad Checks

If you receive checks more often, it makes sense to wonder about the legitimacy of the checks. Verifying funds requires time, and you might not be able to do that when dealing with many customers.

You can use a check verification service to protect yourself from bad checks. This service allows users to identify bad checks by looking at numerous databases. Before you accept the check, run it through a check reader.

You’ll also get information about people who bounce checks routinely and if the account has been closed before. Some services guarantee payment in the event that the check bounces, but at an extra fee.

Sometimes you can’t avoid bad checks completely. Even legitimate customers fail to keep funds available by mistake. Be sure to have contact information for anyone who pays you by check. In case you are suspicious of anything, you can contact them.