How to Void a Check for Pre-Authorized Payments Chron com

Many employers ask their employees to submit a voided check in order to set up payroll direct deposit. To do so, an employee simply writes “Void” in large font across a check and gives it to the human resources department. If you want to be extra careful, you might write “Void” across the payee line, as well as on the signature line and in the payment box. There are several situations in which a voided check might be used. The most obvious one is when a mistake has been made when writing a check, such as stating the wrong payee or amount to be paid. Writing “Void” across it prevents someone from using the check to falsely extract money from the person’s checking accounting. Another use for a voided check is to set up direct deposit payments, usually for payroll payments from your employer into your checking account.

• Once you’ve voided a check, try to ensure it’s either disposed of or kept safely with other sensitive files.
• For instance, 55% of Americans say they prefer to pay bills online.
• If you want to pay your mortgage, car loan, or other bills online, then you may have to submit a voided check to schedule payments from your checking account.
• However, to avoid delays, it’s best to verify whether a preprinted deposit slip is acceptable in place of a voided check.
• Rather than writing “void” on a check if a mistake is made when filling out the check, you can just rip it up or shred the check.
• The easy way to do this is to write “void” in big letters so that it covers most of the check.

Voiding a check that should not be in use can also help prevent check fraud. Examples include stealing checks, altering checks, and signing someone else’s name. Michael R. Lewis is a retired corporate executive, entrepreneur, and investment advisor in Texas. He has over 40 years voided check of experience in business and finance, including as a Vice President for Blue Cross Blue Shield of Texas. He has a BBA in Industrial Management from the University of Texas at Austin. The reason to stop the payment, for example you wrote the wrong amount on the check.

Automate bill payments

If your bank’s online tools allow you to keep track of your written checks, record it there. You can also use a voided check to set up automatic payments. Autopay can be very useful to stay on top of recurring bills like utilities, rent, or credit card payments. By using auto-pay you won’t have to worry about forgetting any bill payment and accruing late fees and hits to your credit score. Voiding a check is as simple as writing “VOID” in large letters across the front of the check, but there are a few other things to keep in mind. Follow these three steps to get a properly voided check for setting up direct deposit or other automatic payments. Frequently, employers require you to submit a voided check in order to record your account information and set up direct deposit for your paychecks.

Update your company’s transaction register, account ledgers or online bank account record to reflect the fact that you have voided that particular check. The company requesting a voided check may be able to accept printed deposit slips, that have your banking account information on them, instead of a check. Whether you’re able to stop a check payment depends on when it was written and whether the payment has already been processed. And depending on your banking institution, there may be fees involved with stopping payment on a check. A voided check is a valid paper bank check that you render unusable and uncashable. Though that specific check can no longer be used to make a purchase or access funds from the attached bank account without your authorization, a voided check is still very useful. Whenever you give your bank information to someone else, there is always a risk of it falling into the wrong hands — even if it’s only a small risk.

Paychecks deposited into someone else’s account

She holds a Bachelor of Science in Finance degree from Bridgewater State University and has worked on print content for business owners, national brands, and major publications. By clicking Continue, you will be entering a third-party website. First Republic is not responsible for the content, links, privacy policy or security policy of this website. If you choose not to use a voided physical check, you will want to check in with the other party to see what alternatives they accept. First Republic Trust Company takes a hands-on, personalized approach to a variety of trust services. First Republic Investment Management, an SEC Registered Investment Advisor, offers objective, individualized wealth management solutions. Stilt provides loans to international students and working professionals in the U.S. (F-1, OPT, H-1B, O-1, L-1, TN visa holders) at rates lower than any other lender.

• They ask for this because a check has all the information your employer needs to help ensure your paycheck is deposited in your account.
• Instead of getting a physical check each payday, the money shows up in your account the morning that your paycheck is due.
• If you need to cancel payment on a check that has already left your hands, you’ll need to contact your bank.
• Just make sure that you don’t cover up the important areas such as your account number and routing number at the bottom of your check, or your personal/bank branch info.
• Investopedia requires writers to use primary sources to support their work.
• No matter what financial service you use, be it a bank or a credit union, the process to void a check from any financial organization is going to be the same as the process outlined above.

Once you have the check, use ink or a permanent marker to write VOID on the check. Be careful not to write over the numbers at the bottom of the check.

Where can I find a voided check or bank letter?

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Mistakes made with a check

FinanceBuzz and CardRatings may receive a commission from card issuers. Properly voiding your checks is easy to do and can save you from future fraud. The Wise batch payment tool is the faster, cheaper way for you to make multiple international money transfers. The only way to give yourself peace of mind is to void the check and then throw it out or shred it. If you add one too many ‘0s’ to your check, you can’t just correct it and hope it works out. You also can’t discard it because if someone were to get hold of it they could withdraw money from your account. To void a check, you’d have to cancel it before the recipient had deposited it.

If you already sent a check to someone, then it is not possible to void it. The recipient will be able to cash the check unless you immediately contact your bank and have them issue a stop payment on that check. Doing so will block the bank from honoring the check when the payee presents it. The bank will charge a fee whenever you request a stop payment. In order to send the correct information to the bank to stop payment, you will need to extract the requisite information from either a copy of the check or the check register. Ultimately, voided checks can come in handy in many situations. Knowing the right method to void a check, as well as the security steps to protect yourself, can help make payment — both as a recipient and as a payee — more efficient.

Credit & Credit Cards

Employers often use voided checks to set 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 https://www.bookstime.com/ need, such as routing or account numbers. Although it is not strictly necessary to get this information from a check, using one reduces the likelihood of a transcription or other type of error.

In some cases, you can use a preprinted deposit slip to verify your banking information. A preprinted deposit slip has the same information as a voided check, including your name, routing number, and account number. An online checking account still uses checks, but if you’re out of checks, you may be able to send yourself a small check through your online bank’s bill payment service. This process allows your employer to deposit your paycheck or expense reimbursements directly. Payment services may also require a voided check when setting up an account. Certain types of transactions might require a voided check to verify your banking information.

Reasons for A Voided Check

Once it has been appropriately voided, a check cannot be used. You may want to dispose of a voided check, in lieu of holding onto it, for several reasons. Write “VOID” across the front of the check in large letters, making sure to avoid covering the account number and routing number at the bottom of the check.

You may have other alternatives, such as sending a copy of a check that has already cleared your bank. You can then void this check by writing VOID across the front and send it to the entity that requested a voided check. Alternatively, you may be able to print a check at home and then follow the same process. To err is human and if you make a mistake when writing a check, voiding the check is often the best way to fix the error. Be aware, however, that voiding a check happens before the check has changed hands or is presented for payment at a bank. These numbers contain your bank’s routing number and your account number, both of which are needed for verification. Note the check in your checkbook or finance software, indicating that the check has been voided.

A voided check may be perforated with a “Void” stamp, or crossed out, or have “Void” written across it, be shredded, or simply be stored in a voided checks file. It is best to permanently deface or destroy a voided check, so that no one can present it to a bank at a later date and expect to be paid for it. If the check is not currently in the company’s possession, then contact the bank and authorize a stop payment on the check .