What to Write on the Back of a Check to Endorse It

Endorsing a check is a key financial step, authorizing a bank to cash or deposit funds into your account. Your signature on the back validates the check, confirming you are the intended recipient. Understanding proper endorsement is important for securely accessing your funds.

Standard Check Endorsement

The most common way to endorse a check is with a blank endorsement, which involves signing your name on the back in the top left portion. A designated area marked “Endorse Here” or similar, typically 1.5 inches long, is usually provided.

Ensure your signature matches the name on the “Pay to the order of” line. If there is a slight variation or misspelling, endorse it with the incorrect spelling first, then sign your correct name below it. While this simple endorsement makes the check payable to anyone who possesses it, it is recommended to only use this method immediately before depositing or cashing the check to minimize risk.

Secure Endorsement Practices

To enhance the security of your check, especially if it will not be immediately deposited or cashed, you can use a restrictive endorsement. The most common form involves writing “For Deposit Only” above your signature on the back of the check. This instruction ensures the check can only be deposited into an account bearing your name, preventing unauthorized cashing if the check is lost or stolen.

For even greater security, you can include your account number after “For Deposit Only,” though this may expose your account information to the check writer’s bank statement. Some banks may also require specific phrases like “For Mobile Deposit Only” when using mobile banking applications to deposit a check. Using a restrictive endorsement is a recommended practice, particularly when mailing a check, as it limits the check’s negotiability.

Endorsing a Check to Another Person

You can sometimes transfer ownership of a check to another individual or entity through a special endorsement, also known as a third-party endorsement. This process requires specific wording: “Pay to the order of [Third Party’s Name]” followed by your signature. Your signature below this phrase legally transfers the check to the named third party.

Once endorsed in this manner, the third party must then also endorse the check themselves to cash or deposit it. It is important to note that many banks are hesitant to accept third-party endorsements due to increased fraud risks, and some may refuse them outright. Therefore, it is advisable for the third party to confirm with their bank beforehand whether such an endorsement will be accepted.

Handling Specific Endorsement Situations

Several specific situations can arise when endorsing checks, each requiring particular attention. When a check is made out to multiple payees, the required endorsements depend on how the names are joined. If the check uses “and” (e.g., “John AND Jane Doe”), all named payees typically need to endorse the check. If “or” is used (e.g., “John OR Jane Doe”), either individual can endorse it.

For business checks, an authorized representative must endorse the check on behalf of the company. This usually involves signing the business name exactly as it appears on the payee line, followed by the authorized signer’s name and their title within the company. Adding “For Deposit Only” with the business account number is also a secure practice for business checks.

If you make a mistake while endorsing, such as signing in the wrong spot or making an error, it is generally best to avoid trying to correct it with white-out or extensive crossing out, as this can invalidate the check. In some cases, a minor error might be accepted, but for significant mistakes, contacting the check issuer for a new check or discussing with your bank for guidance is often the safest approach.