If you have a banking account and can deposit or cash the check written to you, it is almost certainly going to be easier for you to do that, then write your own check (or hand the cash) to the third party. Signing over a check may seem like it would be more convenient (by cutting out the middleman, so to speak), but is unlikely to be so anymore. Look into electronic transfers of funds to your third party, either through your existing bank accounts or a service such as PayPal, if you are seeking another convenient option. If you: 1) have a check written to you; 2) don’t have a bank account; and 3) need to pay a third party the amount of the check written to you, this is the only real scenario in which you might want to try to sign over a check. See Part III of this article for other options in this scenario.
Ask the person if they have used a third-party check at their bank before. This will improve your chances of success since there are no laws requiring banks to accept third-party checks.
Ask if any special procedures are required by the bank to accept the third-party check. Some banks have enacted their own rules governing these procedures, such as requiring that both parties have accounts at the bank to ensure the funds can be transferred.
Bring proper identification, especially if it is not also your bank.
Write neatly, especially the third party’s name. Check for spelling.
To open a checking account at a U. S. bank, you generally need to be 18 or older; provide basic information such as full name, address, contact information (phone / email), and Social Security number; and show a government-issued photo ID. [5] X Research source You should be able to find a no-fee checking account at one of your local banks. Also look into online banks, where free checking accounts are more typical.
The third party should be prepared to present identification when depositing or cashing the check, depending on the policies of the financial institution, especially if the check is for a larger amount. Checks written out to “cash or bearer” or just “bearer” will work similarly.
Check-cashing charges generally range somewhere between 1% and 12% of the check amount, so shopping around for the best deal can pay off. Some national retailers, including Walmart, provide this service. [7] X Research source You will need a photo ID to cash the check.
