{"id":60885,"date":"2023-09-14T09:40:05","date_gmt":"2023-09-14T13:40:05","guid":{"rendered":"https:\/\/ifintechworld.com\/news\/how-to-void-a-check-and-when-you-may-need-one\/"},"modified":"2023-09-14T09:40:09","modified_gmt":"2023-09-14T13:40:09","slug":"how-to-void-a-check-and-when-you-may-need-one","status":"publish","type":"post","link":"https:\/\/ifintechworld.com\/?p=60885","title":{"rendered":"How To Void A Check And When You May Need One"},"content":{"rendered":"
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When was the last time you wrote a personal check? It\u2019s probably been a while.<\/p>\n

With the financial world has been steadily moving away from paper checks, it seems logical that voided checks are becoming less important all the time. But are they?<\/p>\n

Even though fewer consumers make payments by check, voided checks remain important.<\/p>\n

That\u2019s why it\u2019s important to know how voided checks work, even if you don\u2019t frequently pay by check, so that you remain protected when you use them.<\/p>\n

What Is A Voided Check?<\/strong><\/h2>\n

A voided check is a paper check with the word \u201cvoid\u201d written in large, bold letters across the face of the check. By writing void on the check, it means that the check is no longer available for use as a check. Should someone get the voided check, they wouldn\u2019t be able to cash or deposit it.<\/p>\n

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There are several common situations when someone will ask for a voided check, which we will discuss in the next section, but properly voiding it will ensure you don\u2019t get scammed.<\/p>\n

When Will You Need To Voided A Check<\/strong><\/h2>\n

The most common situation is if you make a mistake in filling out a check. In this case, just write \u201cVOID\u201d in big dark letters across the front of the check and it\u2019ll be considered nullified. It\u2019s now invalid for financial purposes.<\/p>\n

Voided checks are also frequently requested when setting up recurring financial transactions because they contain all of your banking information.<\/p>\n

Examples include the following:<\/p>\n

Direct Deposit<\/strong><\/h3>\n

Requesting a voided check is the usual way employers set up direct deposit into their employees\u2019 checking accounts. Employers prefer this method because it lowers the cost of issuing paper checks, and reduces the number of personnel needed in the payroll department; after all, paper check systems are more labor intensive than electronic payment systems. Employees prefer direct deposit because it\u2019s instantaneous and eliminates the need to wait for a paper check to clear their account.<\/p>\n

By asking you for a check, they reduce the potential for errors. If you have to fill out a form and write in the information, it\u2019s possible you make a mistake. If they have to read your handwriting, perhaps it\u2019s not perfect and they make a mistake. By asking for a check, they skip one step.<\/p>\n

Employers may not be the only entities you\u2019ll have a direct deposit arrangement with. You may also need to provide a voided check to other organizations, such as the Social Security Administration, your pension administrator, investment accounts or insurance plans you\u2019re taking monthly distributions from, or even the IRS for the payment of your tax refund. Direct deposit will be the preferred way for those institutions to make payment and for you to receive them quickly.<\/p>\n

Recurring Payments<\/strong><\/h3>\n

You may be requested to send a voided check if you want to set up an electronic payment method for certain bills. This is most commonly requested by vendors, merchants, and other service providers who want to set up an automatic payment system, in which they withdraw payments from your checking account on the monthly due date. 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.<\/p>\n

Business Invoicing<\/strong><\/h3>\n

If you\u2019re self-employed, a freelancer, or you run a business, you may have certain clients you work with on an ongoing basis. To simplify and speed payment, you may set up an electronic billing and payment arrangement with that client. Setting up the arrangement may require you to provide a copy of a voided check so the client can establish the electronic link for payment purposes.<\/p>\n

Recurring Personal Payments<\/strong><\/h3>\n

Business firms and other organizations aren\u2019t the only entities that may involve recurring personal payments. You may have a payment arrangement set up with another person, such as a family member, a friend, or even a landlord\/tenant, to make recurring payments electronically.<\/p>\n

If you\u2019re the one making the payments, you may need a voided check from the other party to connect the accounts. If the other person is making the payments, he or she will need a voided check from you for the same purpose.<\/p>\n

What\u2019s Needed To Void A Check?<\/strong><\/h2>\n

Voiding a check may seem as simple as just writing \u201cvoid\u201d across the front of the check, however, there are a few details you\u2019ll need to keep in mind when writing out the word.<\/p>\n

\u201cVoid\u201d needs to be clearly visible on the check. It should be written across the entire check in large, preferably uppercase, letters. It should be written either with a dark pen or fine marker so that it will show clearly on the one hand, but still leave the important information intact on the check front.<\/p>\n

The word should stand out from the pre-printing on the check, so it\u2019s clear to anyone that the check\u2019s been voided. If you make the lettering too fine, or you use a highlighter, a potential thief may be able to either erase or cover your writing, or in the case of a highlighter, simply copy the check, making the highlighting disappear.<\/p>\n

Whatever you do, never sign a voided check or write any information in the blanks provided. The only purpose of a voided check is to provide your bank name, routing number, and personal account number. There\u2019s no need to add any additional information to the check.<\/p>\n

The best way to deliver a voided check is in person. That will ensure it reaches the intended party without passing through third-party hands. If in-person is not possible, a fax delivery is preferred to email. After all, an email can be accidentally forwarded to unintended parties, exposing your check information to multiple recipients.<\/p>\n

Be Careful With Voided Checks<\/strong><\/h3>\n

This is a seldom-discussed aspect of voided checks, but it\u2019s critically important from an identity-theft-protection standpoint.<\/p>\n

By writing \u201cvoid\u201d across the front of the check, you invalidate it for financial purposes. But is still provides several pieces of very important information that identity thieves love:<\/p>\n