The finance world can be confusing for some people. There are lots of words we need to remember and also lots of rules that have to be followed. One such thing that some may find quite difficult to do is writing a check. But you may ask why filling out a check is necessary when there are other means to pay cash. Yet it is good to know how to fill a check. It will help you in many places. Some places only accept huge amounts of cash in the form of a check. Therefore you can know how to write checks properly beforehand. Here are the easy steps to write a check which will help you in the long run.
Write a check in six easy steps
How to fill out a check is a question in many people’s minds. But without any qualms, you can write checks if you remember the following six steps. So writing a check is a skill every person can learn easily.
Setp 1. Add a date in the upper corner of a check
Writing the date in the upper corner of the check is important. It is one essential aspect to add to the check because it lets the recipient know the date you wrote the check. But if you want them to wait till you put money in your checking account you can write the post date.
Also, you can postdate the check if you are going to pay beforehand. For instance, if you have to pay your rent in the first week of a month, you can post the date of the check if you are planning to go on a vacation at that time.
Step 2. Fill out the “Pay to the Order of” part properly
This is the place where you have to write the name of the company, person or payee. This field has to be filled in properly. Write the name of the payee and without any mistake. But if you are not sure of the name of the payee you can ask a reliable person to fill it before giving it. Yet always remember not to leave this line blank someone can misuse it.
If you are filling out a check for a doctor’s office then they will have a stamp that will contain all the details. You can check if the employee is using the correct stamp on the check.
Step 3. Write the dollar amount in the available fields
You have to write the cash amounts in words in the field given. It will be directly below the payee name. You can add the dollars and cents too. For instance, you can write “twelve dollars and eighteen cents,” or you can write 18/100”. But do not forget to write it clearly. The amount you are writing in the check is very important.
If the amount in words is not taking up much space you can draw a line. This will not allow anybody to add the extra amount to your check.
If writing the amount in words is hard for you, try writing a sample of it in a paper. Then you can write the amount in words on the check. This will be easy for you. Also, it is good to write the check with a ballpoint pen. It will be hard for someone to edit your check if you have written the check with a pen.
Step 4. Write the amount in the box
There is a box in the check available in the check. This area is to fill the amount in numbers. Do not forget to write the amount in this area too. So writing the number in two ways will give a clear idea to the recipient of what you are giving. Further altering the amount is also not possible if the amount is written in two places.
Do not forget to write the amount to the left side of the box so no one can add numbers. No extra amount can be added by a fraudster if you write the amount in this way.
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Step 5. Add a memo if you prefer
There is a field in the check known as memo. This area is optional because you can fill it if you want. It is the area where you can mention for what purpose you are using the check. Also, this is helpful for people who write lots of checks in a day. They will know the purpose of the check by looking at the memo.
Further, if you are writing checks to pay bills this area will be useful if the recipient asks for a billing account number or other details. Therefore make use of this memo field too.
Step 6. Sign the check
At last, you have to sign your name on the check which will change it from a piece of paper to a valuable one. Only if you sign the check will it be a completed one. Also, keep track of the times you have signed the check in a ledger or a register.
It will also help you to keep track of the balance in your checking account. Therefore you can avoid accidental overdraft fees from financial institutions. There is also a way to keep track of the checks through online banks.
Note: You can use a Pencil to write as it’s too easy to edit anything.
The important parts of the check
Personal information: If you are using a check, your details such as your name, address and phone number have to be available in it. Some people will have it printed so they need not tell the vendors whenever they are using the check.
Check number: The check number is also vital because it helps you to know the number of checks you are using. So you can examine it with your monthly bank statement.
Recipient line: This is the field used for the recipient you write the check to.
Dateline: These are the records that will have the dates when you write the checks.
Payment amount box: This is the box that will have the numerical amount of the check for extra clarity.
Payment amount line: This is to spell out the amount in the check.
Bank information: This will have the name and address of the bank.
Memo line: This area is used to explain what the check is for. It will help you as well as the recipient.
Signature line: This is the field where you have to put your signature.
The bank’s routing number: This will assist the computer to know which bank has your money.
Checking account number: This will assist the computer to know which account to get money from.
Conclusion
Paper checks are old methods of paying money. There is not going to be a resurgence of writing checks because there are many easy methods to pay money now. But still, it is good to know how to write a check. You can look at the examples of checks in banks or other places where they use checks.
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