Yes, certified checks are much safer than personal or business checks. However, there can be fake certified checks too.
Is someone offering you a certified check? Then you might be wondering, are certified checks safe?
Well, the answer is a bit more complicated than a simple yes or no. That’s why in this post, I will clearly explain, Are certified checks safe? If so, then how, how can you verify these checks and everything related to them. So, stay here till the end.
First, we need to understand what certified checks are?
Find out, how to verify a cashier’s check is real
What Is a Certified Check?
A certified check is a type of personal check that has been guaranteed by the issuing bank. It means that the bank has verified that the check is authentic and that the funds are available to cover it.
When you request a certified check from your bank, the bank withdraws funds equivalent to the check amount from your account immediately and sets it aside to cover the check. Moreover, a bank employee sign and certify the check. As a result, the check becomes more trustworthy.
Are Certified Checks Safe
Yes, certified checks are safer than other checks. However, they are not fully scam-proof either.
Certified checks are quite safe. Because a bank or credit union certifies a personal check and it becomes a certified check. As a result, it provides a peace of mind to peace of mind to the payee and they become scam-proof to some extent. Moreover, they are easily accepted for large payments. So, Why is a certified check safer?
Why Is a Certified Check Safer?
Certified checks are safer because a financial institution guarantees the payment. As a result, certified checks do not bounce.
Banks and credit unions cut the check money beforehand from the issuing account and put it aside before certifying a personal check. Although, the money is still drawn from a personal account instead of the bank’s fund. However, the check money is frozen by the bank. So, the payer can not move or spend the money once he paid the check to the recipient.
As a result, like other checks, a certified check can not bounce which makes them much safer. But What is the disadvantage of a certified check?
Is There Any Risk With a Certified Check?
Though certified checks are safer than other checks. However, they are not completely risk-free. Here are some of the risks associated with a certified check
- In case a certified check is lost, stolen, or destroyed then it can be pretty complicated to get the check money refunded.
- A fraudster can trick you into paying a certified check for providing fake products or services. Once paid, the check money can not be reverted back.
- Scammers can make a fake certified check and pay you. They even use fake phone numbers on the check to make it more authentic.
These are just some of the risks of a certified check. Scammers can get quite creative and scam you with a certified check. So, be very careful while receiving or sending a certified check. But can a certified check be canceled?
Can A Certified Check Be Cancelled
A certified check can be canceled as long as the check is in your possession. Once the check is paid to the recipient it can not be canceled.
Certified checks are designed to provide safety to the recipient. They are quite safe and can not bounce. Its safety feature also includes it can not be canceled once it’s paid to the recipient. It can be only canceled when it’s lost or unpaid.
While the safety features protect the recipient, they can also bring nightmares to the payer. Because once the payer has given the check to the recipient, it can not be canceled o reverted. Even if the payer is scammed, he/she can not do anything to stop the payment.
Because a real recipient will receive the check fund no matter what the situation is. As a result, a cashier’s check can not be canceled once it’s paid to the recipient. So, Should you take a certified check?
Should You Take A Certified Check?
Yes, you should always take a certified check for large payments instead of a personal or business check.
The issue with a personal or business check is, that you can not be sure whether the person writing the check has enough balance in their account. As a result, these checks can easily bounce.
However, if you take a certified check then the check can not bounce and you will get paid no matter what the situation is. So, certified checks are a better form of payment for large transactions. But how do you detect a fake certified check?
How to Detect Fake Certified Checks
Fake certified checks can be quite hard to detect. Because they are made by professional scammers. However, you can still detect them with a few simple steps
- A certified check should contain a special seal and signature by the bank and it should be spelling mistake-free. Anything other than that is a red flag.
- Call the check issuing bank immediately after receiving the check with the check number and bank account number. Ask them to verify the check.
- Do not call the number on the check. Instead, find the issuing bank’s contact number on the internet and call that number.
These are some of the ways to detect a fake certified check. If you follow these you can easily detect a fake certified check.
By now we have found the answer to, Are certified checks safe? Now let’s look at some of the related queries.
FAQs
Here are some of the frequently asked questions related to this topic.
Do Certified Checks Clear Immediately?
Although certified checks are safe and can not bounce, they do not get cleared by a bank or credit union immediately. Because the money is still drawn from a personal account and banks need to verify the check. Usually, it takes around 1 business day for the check to get cleared.
So, if you want instant money then go to a check cashing store or grocery store that cash certified checks.
How Do You Not Get Scammed With A Certified Check?
Always verify the check before accepting it. This way you can avoid getting scammed with a certified check.
Can I Get a Certified Check From A Bank Without an Account?
No, it’s not possible to get a certified check from a bank you don’t have an account. Because most banks and credit unions offer this service only to their customers. However, some banks might offer it to you as a non-customer if you offer them cash.
In Summary
Certified checks are much safer than other personal checks. However, there is still a risk of fake certified checks and scams. So, always verify a certified check before receiving it. On the other hand, if you are a payee then make sure you are not getting scammed before paying a certified check to anyone.
