A banker's draft is a check that is guaranteed by the bank to clear. To ensure that the check will clear, the bank effectively sets aside the funds in the issuer's account so they are not used for any other payments.Know More
In the United States, a banker's draft is typically referred to as a cashier's check. Banks only issue cashier's checks to customers who have enough cash in their account to cover them or to customers who have cash to pay for the cashier's check.
In exchange for the payment, the bank gives the customer a paper cashier's check, and the bank prints the name of the check recipient and the amount on the check. Cashier's checks look different than regular checks so the recipient knows he is receiving guaranteed funds.
Many banks are willing to offer banker's drafts or cashier's checks to people who are not their customers. These checks can be bought over the counter of a bank for a small fee, but they must be purchased in cash. Because the funds are verified, banks are not willing to accept an unverified payment like a check from another account.
A money order is another type of verified payment. It is similar to a cashier's check. Money orders can be purchased at grocery stores, post offices or money stores.Learn more about Personal Banking
The simple answer is no. Each bank has its own requirements and restrictions on cashing checks. However, there are a lot of options for cashing checks.Full Answer >
Union Bank customers can register their accounts through the Union Bank website in order to view them online and link them to online payment services. The process demands only that customers provide their account numbers and Social Security numbers along with typical contact information.Full Answer >
Cashing a check without a bank account may be accomplished by visiting the check-issuing bank, a grocery store or a check-cashing institution. Another option is to sign the check over to a friend or family member, although this practice is not always accepted by financial institutions.Full Answer >
The length of time a bank can withhold the availability of funds from a check depends on the type of check, the amount of time the account has been active, the amount of money for which the check is written and the bank's availability policy. Certain types of checks, including United States Treasury checks and government checks, must be made available to the customer on the business day following the deposit, according to the Federal Reserve Board.Full Answer >