This is because anyone can fill it out and withdraw money from your bank account. A simple rule to remember would be to treat checks like cash. This is why employers ask for a voided check to set up direct deposit, not a blank one. You may be asked to send a voided check if you want to set up an electronic payment method for certain bills. That will eliminate the need for you either to issue a paper check in payment, or to go online and arrange the electronic payment manually. When you’re submitting a voided check for direct deposit or automatic payments, you don’t need to include any information on the regular lines.
- There is only one hitch, you need to know how to void a check, and you may not have done that before.
- Electronic money, or e-money, is a simple way to send, spend, and receive payments online.
- If in person is not possible, a fax delivery is preferred to email.
- Banks typically charge a fee for these checks, which can be anywhere from a few dollars to as much as $25.
- You can take a check from your checkbook and write “void” across it in large letters and provide the check to your employer.
Requesting a voided check is the usual way employers set up direct deposit into their employees’ checking accounts. Employees prefer direct deposit because it’s instantaneous and eliminates the need to wait for a paper check to clear their accounts. Employers often use voided checks to set voided check up direct deposits for their payroll, and service providers may need them to set up direct debits. This is because a blank check has all the information they need, such as routing or account numbers. Using a voided check reduces the likelihood of a transcription or other type of error.
Step 1: Start With a Blank Check
If all else fails, you may be able to get official documentation from your bank or credit union instead of voiding a check. Ask for a letter, printed on bank letterhead, which lists your account number, routing number, and account type (checking or savings). Alternatively, some banks provide form letters for setting up direct deposit—print it while you’re logged in to the online banking system, and it should have everything you need. First, it’s important to know that you should never give someone a blank check, especially someone you don’t know.
[+] She is smiling at the ease of use as she works on her smart phone banking app to do monthly finances, pay taxes and save money for the future. You may be able to do this instead of voiding a check if you want. Be sure that the account and routing numbers are included. Being able to void a check is an essential part of money management.
Deposit Slips
If you need a voided check to set up direct deposit with your employer, you have a couple of choices. You can take a check from your checkbook and write “void” across it in large letters and provide the check to your employer. You can ask your financial institution to send a letter providing all the same information to the party requesting your voided check. One of the advantages is your bank or credit union may send the letter directly to the party requesting the voided check, avoiding the need to send it by email.
- There’s still a way to void a check after sending it—but you’ll have to act fast.
- For example, online banks allow you to link external accounts by typing in those details yourself.
- To void a check, you’d have to cancel it before the recipient had deposited it.
- This is because anyone can fill it out and withdraw money from your bank account.
- Voiding a check may seem as simple as just writing “void” across the front.
- If you don’t already have checks, you can order checks online.
This will open the possibility of accessing your money or even stealing your identity for other purposes. It should be written across the entire front in large, preferably upper case letters. Use either with a dark pen or fine marker so it will show clearly on the one hand, but still leave the important information intact on the check.
Why do employers need a voided check?
Your last option is to gather all your bank account information in one place so that you can fill out a form for your employer to set up a direct deposit. A canceled check is one that the bank has already cleared. It means that the check can no longer be used after it has been cashed or deposited. You can easily void a paycheck or other payment through QuickBooks or other accounting software.
No matter the reason for needing to trash a check, it’s a good idea to void it first just to be safe—yes, even if you’re planning to rip it up. Most checks are good for six months, but banks might still cash checks that are past this expiration date. Some checks might explicitly state a different period, such as three months or a year. I graduated in 2003 from Carnegie Mellon University with a Masters in Software Engineering and I use my analytical skills to navigate the financial world. It’s through this education that I try to distill complex financial ideas into simple steps regular folks can use to take control of their money and build wealth. A woman sits at her dining room table with laptop and financial reports doing her monthly budget.
When we receive your direct deposit information from your employer, we make your pay available to you, up to two days earlyΩΩ. All you need to do if you want to establish a direct deposit is take an existing check and write the word ‘VOID’ across the front of it in large capital letters. Note that some banks may charge a fee to issue a stop payment on a check.