How to Accept Cashier's Checks

Cashier's checks can be used in lieu of cash and are typically used for larger sums of money. Cashier's checks are guaranteed by a bank and are considered a safer alternative to personal checks. A cashier's check contains the name of the bank that issued the check, the words "Cashier's Check" and the amount of money that the check represents. It includes security features such as watermarks, special bonded paper and color-shifting ink. For security reasons, a number of banks wait for the check to clear the originating bank before cash is placed into the account of the person who deposited the check.

• 1

  Verify that the originating institution of the cashier's check is legitimate by getting information about the institution from FDIC's Bank Find tool. Call the issuing institution and ask if it issued the check in the amount specified.

• 2

  Take the cashier's check to your bank and deposit it. Wait for the check to clear prior to using the funds or providing the product that was paid for by the cashier's check to the customer.

• 3

  Call the Federal Trade Commission's help line at (877) FTC-HELP if you find that the check is fraudulent.