What is a Cashier’s Check?

Cashier’s checks are a secure way to pay by check. Unlike personal checks, cashier’s checks can’t bounce because they’re guaranteed by the bank. They’re considered an official check, and people often use them to make big purchases, like a car or house. Cashier’s checks are also a secure way to send money to someone.

Here’s how to get a cashier’s check and how they work.

Key takeaways

• Cashier’s checks are a secure way to make a payment by check, with little to no risk the check will bounce.
• You can buy cashier’s checks for about $5 to $15 at your local bank or credit union.
• When you buy a cashier’s check, the bank removes the funds from your account to the bank’s account and then issues the check.
• The check is guaranteed by the bank, because they’ve already cleared the funds from you.

How does a cashier’s check work?

When you get a cashier’s check, the bank teller withdraws the amount of funds from your account and issues you an official check from the bank. The cashier’s check is backed and guaranteed by the bank.

You can then give this check to your recipient. When the recipient of the check cashes it, the funds are drawn from the bank, not your personal account.

Sending or receiving cashier’s checks protects against a bounced check because the check is drawn from the institution’s funds.

When to use a cashier’s check

People typically use cashier’s checks to make secure payments, especially for big purchases. It’s safer to carry than cash and more secure than using a personal check. You might use a cashier’s check for:

• Buying a car without financing
• Making a down payment on a house
• Paying closing costs in real estate
• Putting down a security deposit on an apartment
• Settling a brokerage trade
• Paying a merchant who doesn’t accept personal checks

While some vendors may prefer an alternative to a cashier’s check, such as a money order, this method of payment is safe and commonly accepted.

Fees and processing times

Banks usually charge a fee to issue a cashier’s check. This fee commonly ranges between $5 and $15, though the amount varies by institution. Some banks and credit unions offer limited free official checks to their customers.

Requesting a cashier’s check in person at a branch usually takes just a few minutes. If you request the check over the phone or by mail, it will need to be shipped, which could take several days.

How to get a cashier’s check

To buy a cashier’s check, you’ll need to visit your bank or credit union. Some banks or credit unions will allow you to order the cashier’s check online or over the phone and then mail it for you, but most places require an in-person visit.

Here’s how to get a cashier’s check from your bank:

1. Identify yourself and your recipient: Have your driver’s license (or other government ID) with you, plus the exact name of the person the check is for.
2. Have the funds ready: Ensure you have enough money in your account for the check amount plus the fee.
3. Receive the check: The teller will create the cashier’s check and give it to you. Don’t forget to grab your receipt.
4. Review the check: Before you leave the financial institution, review the check carefully to make sure names and amounts are correct.
5. Deliver the check: Once you have the check in hand, you can give it to the recipient.

Note that cashier’s checks are only available at financial institutions. Cashier’s checks aren’t available at Western Union locations or at the usual places where you can buy a money order, like grocery stores or the post office.

Pros and cons of using a cashier’s check

Cashier’s checks are a great way to pay someone securely, but this payment method has its drawbacks, too.

Pros of a cashier’s check

• Guaranteed by the bank
• More secure than personal checks
• Easier to carry than cash
• Suitable for making large payments

Cons of cashier’s checks

• Higher fees than other payment methods
• Only available from a bank or credit union
• Usually requires you to have an account at that institution
• Risk of the check being lost or stolen

Alternatives to a cashier’s check

If a cashier’s check isn’t the right fit for your situation, consider one of the alternatives below:

• Money orders: Money orders are another safe, prepaid way to send cash. You can buy a money order at many places, including Western Union locations, post office branches, and some grocery stores and convenience stores.
• Money transfers: Money transfers are a way to send money directly to someone else’s bank account, including in other countries. They’re fast and convenient, and you can arrange a money transfer online.
• Mobile app payments: You can send money to a person or a business using a mobile payment app. Download the app to your device and link it to your bank account or mobile wallet, then send money securely with a few taps.

Send money with Western Union

Cashier’s checks are secure, bank-issued payments, but they usually require a bank account and an in-person visit to your local bank branch.

For a more convenient way to pay, consider alternatives to a cashier’s check, such as money orders or Western Union money transfers. These options are a low-cost way to send money securely to anywhere in the world, no matter where you or your recipient happen to be.

To get started, find Western Union locations near you or download the Western Union app to send money worldwide.