My Mail Says ‘To the Order Of.’ Is It a Check?
Received mail saying "to the order of"? Learn to confidently identify and handle legitimate financial instruments like checks.
If you’ve received mail containing the phrase “to the order of” and are wondering if it’s a check, understanding this phrase and how to identify a genuine check is important. This article explains the meaning of “to the order of” and guides you through recognizing the essential features of a valid check.
Understanding the Phrase “To the Order Of”
The phrase “pay to the order of” is a fundamental component of negotiable instruments, such as checks. It serves as a legal instruction, directing a bank to pay a specified sum of money to the person or entity explicitly named after this phrase. This named party is known as the payee, who is authorized to receive the funds. The individual or entity writing the check is referred to as the drawer or payor, who issues this order to their bank.
This wording ensures payment is made to the correct recipient, adding security to financial transactions. Unlike an instrument “payable to the bearer,” which can be cashed or deposited by anyone possessing it, a “pay to the order of” instrument restricts payment to the named payee unless properly transferred. This makes the check a binding document under regulations like the Uniform Commercial Code (UCC).
Identifying a Valid Check
Even if a document includes “to the order of,” confirm it is a valid check by looking for several other essential features. A genuine check will prominently display the name and logo of the bank or financial institution on which it is drawn. You should also find a check number, typically located in the upper right corner and often repeated in the magnetic ink character recognition (MICR) line at the bottom.
The MICR line contains three sets of numbers: the nine-digit routing number, which identifies the bank, followed by the account number, and usually the check number again. The check must also clearly state the amount in both numerical and written form, with the written amount being the legally binding figure. A valid check requires a date and the signature of the drawer, authorizing the payment. If any of these elements appear incorrect, are missing, or feel unusual (e.g., thin paper or smudged ink), it may indicate a fraudulent document.
What to Do with the Document
Once you have identified the document as a valid check, handle it securely. Before depositing or cashing, endorse the check by signing your name on the back, typically within the designated endorsement box. For added security, especially when depositing via mobile or ATM, add “For Deposit Only” above your signature, which restricts the check from being cashed by anyone else.
Checks can be deposited through various methods, including mobile deposit via your bank’s app, at an ATM, or in person with a bank teller. After depositing, write “VOID” or “Deposited” on the check and keep it in a secure place until the funds have fully cleared your account. If you have any doubts about the check’s authenticity, contact the issuing bank directly using a phone number obtained from their official website, not from the check itself, as this helps prevent fraud.