Which U.S. Banks Accept Foreign Checks?

While electronic transfers have become widespread, some individuals still receive payments in the form of foreign checks. Depositing these checks into a U.S. bank account can present unique challenges, differing significantly from the process for domestic checks. Understanding the specific requirements, potential fees, and processing times is important for anyone needing to access funds from an overseas check.

U.S. Banks Accepting Foreign Checks

Many large national banks in the United States accept foreign checks for deposit, though their policies and procedures can vary. These institutions have international banking departments. However, foreign checks cannot be deposited through mobile check deposit features or at ATMs; an in-person visit to a branch is necessary.

Regional banks and smaller credit unions might have more restrictive policies, with some opting not to accept foreign checks at all due to the complexities involved. For those that do, the process is often treated as a “collection item,” meaning the bank acts as an agent to collect funds from the foreign issuing bank. Contact your specific bank or credit union directly to confirm their current policies regarding foreign check deposits.

Information Needed for Foreign Check Deposit

Before attempting to deposit a foreign check, gather all necessary information and documentation. You will need a valid government-issued identification, such as a passport or a U.S. photo ID, to verify your identity at the bank.

The foreign check must contain specific details. This includes the full name and address of the issuing bank located outside the U.S., along with its routing or transit numbers. The check should also clearly state the numeric and written amounts, and it must be payable to you as the account holder. Checks issued in foreign currencies or drawn on banks outside the U.S. are considered foreign items, even if the amount is stated in U.S. dollars.

The Foreign Check Deposit Process

The actual deposit of a foreign check typically requires a visit to a bank branch. Mobile deposit is generally not an option for foreign checks due to the need for physical verification and specialized processing. At the branch, you will need to endorse the back of the check with your signature and your U.S. bank account number.

You will then complete a standard deposit slip, clearly indicating that the item is a foreign check and specifying the currency and amount. The bank teller will review the check and your identification to initiate the collection process. In some cases, especially for U.S. dollar checks from foreign institutions, banks may offer mail-in deposit options, but this is less common for checks denominated in foreign currency. The physical check is often sent to a specialized foreign collections department within the bank for further processing.

Fees and Processing Times for Foreign Checks

Depositing foreign checks typically involves various fees and significantly longer processing times compared to domestic checks. Banks commonly charge a processing or collection fee for foreign items, which can range from approximately $20 to $50 per check. Additionally, if the check is in a foreign currency, the bank will apply a currency exchange rate, which usually includes a markup. Intermediary or correspondent bank fees may also be deducted from the check’s value as it passes through various financial institutions in the international clearing process.

The time it takes for a foreign check to clear and for funds to become available can vary widely, often ranging from several weeks to a few months. Factors influencing this timeline include the country of origin, the currency, the specific bank policies, and the need for verification with the issuing bank. While domestic checks often clear within a few business days, foreign checks are subject to extended holds, sometimes 15 business days or more, before funds are released.

Other Options for Receiving International Funds

If depositing a foreign check proves to be too cumbersome or costly, several alternative methods exist for receiving international funds. Wire transfers offer a secure and generally faster way to receive money directly into your bank account. While banks typically charge fees for incoming wire transfers, often around $15, they are processed electronically and funds can arrive within one to five business days.

International money orders provide another traditional paper-based option, functioning similarly to domestic money orders but for cross-border transactions. These can be a secure alternative, though they may also involve fees and processing times. Modern third-party payment services, such as Wise, Remitly, Xoom, MoneyGram, Western Union, and Revolut, have emerged as popular digital alternatives. These platforms often offer competitive exchange rates, lower fees than traditional bank wire transfers, and faster delivery, sometimes within minutes or hours, making them a more efficient choice for many international money transfers.