How To Write Amount On A Check: A Comprehensive Guide
Writing a check might seem like a relic of the past in our increasingly digital world, but it remains a useful tool for certain transactions. Whether it’s paying rent, sending a gift, or settling a bill with a business that doesn’t accept digital payments, knowing how to write the amount on a check accurately and securely is still a vital skill. This guide will walk you through every step, ensuring your checks are both correct and protected from potential fraud.
Understanding the Anatomy of a Check
Before we dive into the specific details of writing the amount, let’s familiarize ourselves with the different parts of a check. This knowledge is crucial for understanding where to write the amount and other essential information.
The key components of a check include:
- The Payee: This is the name of the person or company you are paying.
- The Date: The date the check is issued.
- The Amount in Numbers: The numerical representation of the payment amount.
- The Amount in Words: The spelled-out version of the payment amount.
- The Memo Line: An optional line for including a note about the payment (e.g., “Rent - October”).
- The Signature Line: Where you sign the check to authorize the payment.
- Bank Information: Includes the bank’s name, address, and routing number.
- Account Number: Your unique account number.
Step-by-Step Guide: Filling Out the Amount Box
The most crucial aspect of writing a check is accurately and securely filling in the amount. This involves two sections: the numeric box and the line where you write out the amount in words.
Writing the Numeric Amount
This is the simplest part. Locate the small box, typically on the right side of the check, with a dollar sign ($) printed before it.
- Write the amount clearly and close to the dollar sign. For example, if you’re paying $125.50, write “$125.50” in the box.
- Use a decimal point to separate dollars and cents. Always include the cents, even if it’s a whole dollar amount (e.g., write “$100.00” not “$100”).
- Avoid any extra space. Don’t leave gaps before or after the number. This can help prevent someone from altering the amount.
Writing the Amount in Words: Preventing Fraud
This is where the most potential for error and fraud lies. Carefully follow these steps to ensure your check is secure:
- Start at the far left. Begin writing the amount as close to the “dollar” symbol or the left edge of the line as possible. This prevents someone from adding extra words before your amount.
- Write out the amount in words. For example, for $125.50, you would write “One hundred twenty-five and 50/100”.
- Use standard spelling. Spell out the numbers completely.
- Use “and” to separate dollars and cents. Place “and” between the dollar amount and the cents.
- Represent cents as a fraction. Write the cents over 100. For example, “50/100”.
- Draw a line to fill the remaining space. After writing the amount in words and the fraction, draw a straight line to fill the rest of the line. This prevents someone from adding extra words or numbers to increase the amount.
Avoiding Common Mistakes When Writing Amounts
Several common errors can compromise the accuracy and security of your checks. Being aware of these pitfalls will help you avoid them.
Incorrect Spelling of Numbers
Misspelling numbers can lead to confusion and potential payment disputes. Always double-check the spelling of all number words.
Leaving Gaps in the Written Amount
Leaving gaps between words or before the fraction allows someone to add extra words or numbers. Always fill the entire line with the written amount and a solid line.
Forgetting the Cents
Failing to include the cents portion of the amount can be confusing and may result in the check being rejected. Always write out the cents as a fraction over 100.
Using Abbreviations
Avoid using abbreviations or symbols when writing the amount in words. This can make the amount unclear and potentially allow for alteration.
Best Practices for Check Security
Beyond the specific steps for writing the amount, several other security measures can protect your checks from fraud.
Use a Secure Pen
Use a pen with permanent ink that is difficult to erase or alter. Ballpoint pens are generally a good choice.
Keep Checks Secure
Store your checks in a secure location, away from prying eyes.
Monitor Your Account Regularly
Check your bank statements frequently to identify any unauthorized transactions.
Shred Unused Checks
Once you no longer need a check, shred it thoroughly to prevent it from falling into the wrong hands.
Differences Between Personal and Business Checks
While the fundamental principles of writing amounts remain the same, some differences exist between personal and business checks.
Business Checks
Business checks often have more pre-printed information, such as the company’s logo, address, and bank account details. Businesses may also use check-writing software to ensure accuracy and consistency.
Personal Checks
Personal checks usually have less pre-printed information. It’s crucial to fill in all the required fields accurately.
Troubleshooting Common Check-Writing Issues
Even with careful attention, you might encounter some issues while writing a check. Knowing how to handle these situations can save you time and frustration.
Making a Mistake
If you make a mistake, the best course of action is to void the check. Write “VOID” clearly across the check and keep it for your records. Then, write a new check with the correct information.
The Check is Rejected
If a check is rejected, it’s usually due to an error in the amount or insufficient funds. Contact your bank to resolve the issue and ensure that the payee is paid.
Lost or Stolen Checks
If you lose or suspect your checks have been stolen, contact your bank immediately. They can place a stop payment on the check to prevent unauthorized use.
FAQs
Is it okay to use a pencil to write a check?
No. You should always use a pen with permanent ink to write a check. This is because pencil markings can be easily erased or altered, making your check vulnerable to fraud.
What happens if I write the wrong amount on a check?
If the numerical amount and the written amount don’t match, the bank will typically honor the written amount. If the difference is significant, the check may be returned to you.
How do I know if my checks are counterfeit?
Counterfeit checks can be difficult to detect. Look for inconsistencies in the paper quality, ink, and printing. If you suspect a check is counterfeit, contact your bank immediately.
Can I use white-out or correction tape on a check?
No. Using white-out or correction tape can make the check look unprofessional and potentially lead to it being rejected. If you make a mistake, void the check and start over.
What is the purpose of the memo line on a check?
The memo line is for your reference and is not required. You can use it to specify what the payment is for, like “Rent for October” or “Invoice #123”.
Conclusion
Mastering how to write the amount on a check involves more than just knowing the numbers and words. It’s about understanding the anatomy of a check, practicing accuracy, and prioritizing security. By following the guidelines in this comprehensive guide, you can confidently and securely write checks for various transactions. From understanding the correct formatting to preventing fraud, this knowledge will help you navigate the world of checks effectively, ensuring your financial transactions are both accurate and protected.