How to Cash a Third Party Check with Your Bank?
Someday you may come across a notion of a third party check. It can sound puzzling but in fact, there is nothing complicated. A third party check is a check that is double indorsed, and that is written for one person or organization, but is cashed or deposited into the account of another.
If you are to use a third party check, then you should know a few things. You must hold an account in a bank with which you wish to cash the check. In order to cash a third party check you have to accomplish the criteria of third party check endorsement; that is the check must be endorsed over to you. Generally, the payee writes your name on the back of the check. The signature of the individual to whom the check is written out must match the name in the ‘payable to’ field of the check. You need to sign underneath his signature to let the check in your bank account.
Each bank usually requires that you should present two forms of picture identification: your driving license and credit cards with the picture on it. Certain banks can as well demand even a fingerprint for profound examination.
After you deposit the check into your account, there may be two ways in which the cash can be granted to you. In case a bank has enough funds, it will grant you the sum of money that is accessible in your savings account and the rest of the cash would be provided to you when the check is entirely cleared. Another way is that you will need to wait for several working days for the check to be cleared. You should be prepared for such outcome as well.
April 20 2011 10:09 am | Banking