A cashier’s check is a check which is guaranteed by the bank of the payor and ensures a payee that it will not be bounced. This means that in case of any default, the bank will be held liable, not the payor as it is backed by the bank’s funds. It is one of the most preferred routes for business persons who have to deal in transactions of large amounts regularly. Not only for entrepreneurs but, it is also used by people who have to pay a large sum of money in case they buy an automobile or a property.
Can I Get A Cashier’s Check At Any Bank?
No, you can’t get a Cashier’s check at any bank because most banks have the policy of issuing it only to their customers (account holders). But, a few banks like Huntington bank & Sun Trust bank are issuing it to non-customers too by charging an additional fee. So, it’s better to visit the bank in which you already have an account or call beforehand at the bank to inquire whether they issue it to non-customers or not.
What are the requirements for getting a cashier’s check?
If you are a customer of a bank then, follow these steps to get the check: –
- ID Proof – Carry with you valid identification proof like a driving license, a passport, etc to present it to the bank authority as it is mandatory to show it before issuance of the check.
- Details of the Payee – The name and account no. of the recipient of the check are required as only the bank can fill the details in a cashier’s check, not the payor.
- Ensure to have Sufficient Balance – Make sure that your account has a sufficient balance to pay for the cashier’s check amount because the bank usually transfers money from the payor’s account into the bank’s funds before the issuance of a cashier’s check for the security reasons.
- Pay the Required Fees – Usually many banks provide the cashier’s check to its customers free of cost but, a few can demand a little fee ranging from $5 to $15, varying according to their policies.
- Collect the Receipt – Don’t forget to collect the receipt of payment for future references or in case of any disputes with the bank regarding the check.
What are the requirements to get it in case of a non-customer?
- Enquire beforehand – It’s better to call in advance at the nearby bank branch to save your time and money incurred in personally visiting the branch & return empty-handed.
- If a particular bank agrees to issue a cashier check to a non-customer too, then it will look for whether you fulfill any of the following requirements, whether held with it or any credit union: –
- A safe deposit box, or
- An insurance policy, or
- A credit card
- Pay the fees & amount In Cash – Since you are not holding an account with the bank, the option of transferring funds is canceled here. That’s the reason why you have to pay the amount of the check in cash before issuance of it.
- The rest of the steps are the same as for the customers.
What can one do if a bank denies issuing a cashier’s check?
- Open an account at the very moment – If one urgently needs a cashier’s check but doesn’t hold an account in any bank then, one should consider opening a current or savings account with the bank before the issuance of the check.
- If opening an account so quickly is not feasible, then one can look for other alternatives too: –
- Money Order – One of the most preferred alternatives to a cashier’s check is a money order as it also serves the same purpose and cannot be bounced. But, the only drawback is that there is a maximum limit on sending money to the payee.
- Wire Transfer – It is the best way to send money in or outside the country and is a bit quicker too, but it comes with a higher price as you have to pay an extra fee for opting for this, sometimes up to $50.
- Certified Checks – These are just like a regular check but safer than it, as they are certified by the bank in terms of the drawer’s signature, credentials & sufficient bank balance.
- Online Transfers Sites/Apps – Nowadays many apps like PayPal, Apple Pay, etc., are in existence for transferring money digitally to your family, friends, or merchants with a single click. These also have a maximum limit of sending money, but you can send money in installments too.
One can conveniently get a cashier’s check from the bank in which one holds an account whether savings or current. In case, one doesn’t then, only a few banks are there which provide the facility of issuing a cashier’s check to non-customers. In case, one is not able to find such a bank then, there are other financial institutions like credit unions too, that can issue this check. There are many options available also as a substitute for this check, which is worth trying.