How to Write Checks Correctly and Securely

Checks remain a relevant payment method in various financial transactions, offering a tangible record and security for both the payer and the recipient. While digital payment methods have become widespread, understanding how to properly write and manage checks is still a valuable financial skill. This knowledge ensures accurate transactions and helps protect against potential misuse.

Parts of a Check

A standard blank check contains several distinct areas, each designated for specific information to ensure a valid transaction. In the upper right corner, a space is provided for the current date, indicating when the check is issued. Below this, the “Pay to the Order of” line is where the full legal name of the individual or entity receiving the payment is entered. To the right of this line, a small box allows for the numeric representation of the payment amount.

Underneath the payee line, a longer line is reserved for the written-out word form of the payment amount, which serves as the official legal amount in case of a discrepancy. A “Memo” or “For” line, typically located in the bottom left, offers a space to briefly describe the purpose of the payment, such as “Rent” or “Invoice #123.” The bottom right corner features a signature line, where the check issuer must sign to authorize the payment. Along the bottom edge of the check, the bank routing number, account number, and check number are pre-printed, identifying the financial institution, the specific account, and the unique check in sequence, respectively.

Writing Your Check

Begin the process of writing a check by entering the current date in the designated space, typically located in the upper right-hand corner. Next, accurately write the full legal name of the person or organization receiving the funds on the “Pay to the Order of” line. Immediately after writing the payee’s name, proceed to fill in the numeric amount of the payment in the small dollar box. It is advisable to write the numbers clearly and close to the dollar sign to prevent any alteration.

Following this, write out the exact same amount in words on the long line below the payee line. For example, if the numeric amount is “$150.00,” write “One hundred fifty and 00/100” dollars, ensuring no large gaps are left before or after the words. After completing the amount in words, fill in the memo line with a brief note explaining the purpose of the payment, such as “utility bill” or “invoice payment.” Finally, sign your name on the signature line in the bottom right corner, as your signature authorizes the financial institution to process the payment from your account.

Important Safeguards and Record-Keeping

When writing checks, it is important to implement safeguards to protect your financial information and prevent fraud. Always fill in all blank spaces on the check, particularly on the amount lines, to deter unauthorized alterations. Drawing a line through any unused space after the written amount can prevent additions.

If a mistake occurs while writing a check, it is generally best practice to write “VOID” in large letters across the face of the check and then tear it up. Maintaining a detailed check register or ledger is also important, as this record allows you to track each check issued, including the date, payee, amount, and purpose. Regularly reconciling your check register with your bank statements helps identify any discrepancies or unauthorized transactions promptly. Store blank checks in a secure location, such as a locked drawer or safe, to prevent theft and unauthorized use.