How to Correctly Endorse a Check for Deposit

Endorsing a check is a necessary step before depositing funds into your account. This action validates the check and authorizes your financial institution to transfer funds from the check writer’s account to yours.

Understanding Check Endorsement

Endorsing a check involves signing your name on the back. This signature serves as your authorization for the bank to process the payment. The designated endorsement area is located on the left end of the back of the check, often marked with lines and instructions like “Endorse Here.” Adhering to this area ensures the check is processed correctly.

Endorsement is important for security. It verifies you are the intended recipient of funds, preventing fraud and unauthorized transactions. Your signature should match the payee’s name exactly as it appears on the front of the check. If your name is misspelled, sign it first with the incorrect spelling, then sign directly below with the correct spelling. Use permanent black or blue ink for your endorsement to prevent alterations.

Types of Endorsements

The way you endorse a check determines how it can be used, ranging from simple signing to adding specific instructions.

A blank endorsement involves simply signing your name on the back. This method carries a risk: if the check is lost after being signed, anyone can cash or deposit it. Therefore, sign a blank endorsement only immediately before depositing the check.

For security, a restrictive endorsement limits how a check can be used. Write “For Deposit Only” followed by your account number below your signature. This ensures the check can only be deposited into the specified account, preventing it from being cashed if lost or stolen. Many banks also require “For Mobile Deposit Only” for mobile deposits.

A special endorsement, also called a third-party endorsement, transfers the check to another person. Write “Pay to the order of [Recipient’s Name]” below your signature, then the original payee signs it. Some financial institutions may have specific policies or restrictions regarding these endorsements.

Depositing Your Endorsed Check

Once your check is properly endorsed, you can proceed with depositing it through various convenient methods. For mobile deposits, you typically open your bank’s mobile application, select the deposit option, and follow the prompts to take clear photos of both the front and the already-endorsed back of the check. After reviewing the details, you confirm the deposit.

When depositing at an ATM, you will usually insert your debit card and select the deposit option. You then insert the check, which you have already endorsed, into the designated slot. The ATM will often display the amount for your confirmation before completing the transaction.

For in-person deposits, you present your endorsed check to a bank teller. You may also need to provide a deposit slip, which is a small form indicating the amount you are depositing and the account into which the funds should be placed. The teller will then process the deposit directly into your account.