Checks are mostly used to move money from the account of the person who holds the check at a bank or other depository institution. Checks are used to make transactions easier, just like money.
People need to remember certain things in order to avoid problems in the future. Make sure you use the right pen, and if you can, use one with ink. Care should be taken to fill in all the information. Make sure the number and written amount on the check match. If you have to cancel a check, make sure to keep track of it. That will help you match up your accounts and get them in order. Sign in a way that can be read, since it's easier to copy a scrawl. When you are done writing the amount on a check, draw a line. The line makes sure that the empty space won't be filled in the future.
The banks have rules and regulations to protect themselves from fraud. If you cash a check at a bank other than the one where you have an account, you might even have to give your thumbprint. The state law doesn't say how someone can prove who they are. It is up to the bank to choose the way to check. Most of the time, it is a person's ID. Sometimes, a check that could have been written by the government can be turned down by a bank. Again, banks do this to protect themselves from risk. The customer might be trying to pull a fast one on the bank, and once the check is cashed, the bank will never see that person again. Also, a bank might not have enough cash on hand to pay off the credit. The banks might go the extra mile for their own customers, but not for people who aren't their customers. A bank is not required to pay for a check that has been inactive for more than six months, unless it is a certified check.
State law says that people who write bad checks are guilty of a crime. A bad check is one that isn't paid when it's presented, which the person who wrote the check knows. Depending on how much the check was for, the penalty can range from a misdemeanour to a Class D felony. A customer can stop payment on a check by making it clear to the bank that there are good reasons to do so. A written complaint must be filed within 15 days of a verbal order. The stop payment order is valid for six months.
