fbpx
Get ahead of the crowd with Premium
Login
Register Forgot password

Why Voided Checks Are Handy for Verifying Direct Deposits

Moneymagpie Team 17th Jun 2024 No Comments

Reading Time: 3 minutes

Imagine that it’s payday and you eagerly check your bank account, expecting to see your hard-earned salary deposited. But instead of the usual “money in the bank” notification, there’s nothing. Just a demoralizing lack of the funds you were expecting and waiting for in your account.

Frustrated, you contact HR to find out what’s happened, only to discover that your bank details were entered incorrectly. Whether you or they were at fault for the mistake, this problem could have been simply and easily avoided by using a voided check.

What is a Voided Check?

A voided check is basically a check that has been rendered invalid and cannot be used for financial transactions. This is typically done by writing the word “VOID” across the front of the check in large letters.

By writing or printing “VOID” in large and clearly visible letters across the check, you ensure that nobody can attempt to cash it or make any fraudulent deposits.

However, that voided check still contains all your important bank account information, including the bank address, routing number, and your account number.

But when you don’t have a physical check available or don’t have the time to get one issued at your bank, you can use the VoidedCheck website to produce a voided check safely and with minimal fuss.

Using this online resource is the quickest and most convenient way to get a voided check, which can then be forwarded to your intended recipient, either digitally via email or printed and given physically.

Why Use a Voided Check?

The main purpose of a voided check is to provide your bank details accurately and securely, although there might be a variety of scenarios when this would be the most useful option.

If you’re starting a new job or perhaps changing banks and need to update your checking account details, your employer will need the correct bank account information to make direct deposits for your salary. The voided check will ensure that payroll has all the right details, reducing the risk of errors that could delay payments.

Utility companies, mortgage lenders, and many other service providers often require your bank details, which are used to set up automatic bill payments. Providing them with a voided check will ensure they have all the necessary information, while at the same time ensuring the check itself can’t be misused.

We all make mistakes and that’s only human. With so much valuable information and so many numbers involved, making sure you send the right bank account information for direct deposits can be worrisome. By using a voided check, you have a convenient and error-free way to send that information, safely and securely.

The Practicality of Voided Checks

Let’s consider an imaginary friend that in this example, we’ll call Jane. She recently started a new job and the HR department asked for her bank details, so that they could set up the direct deposit for her salary.

Jane filled in a form with her bank account number and routing number, but unfortunately and without even realizing, she misread one of the digits in her account number.

When payday arrived, Jane’s salary payment was nowhere to be found. After a stressful week of trying to sort everything out with her bank and employer, Jane had learned a valuable lesson – always use a voided check in these situations.

Had she done so and provided a voided check, the HR department would have had all the correct and accurate bank details right from the beginning, saving herself and everyone the inevitable hassle of what had been a simple mistake.

Most importantly, this easy and simple step would have also saved Jane the headache of waiting on a delayed paycheck.

Important Lessons Learned

Although it might seem quite old-fashioned to use checks these days, when most activities and transactions are digital, voided checks remain a reliable and practical tool for managing your finances.

Voided checks offer a straightforward way for you to share your information securely, enabling your direct deposits and automatic are set up correctly. So, remember the examples we have provided, such as the story of Jane and her delayed payday. It’s a small but useful practical step that can save you time and worry down the road.

Disclaimer: MoneyMagpie is not a licensed financial advisor and therefore information found here including opinions, commentary, suggestions or strategies are for informational, entertainment or educational purposes only. This should not be considered as financial advice. Anyone thinking of investing should conduct their own due diligence.

0 0 votes
Article Rating
Subscribe
Notify of
guest

0 Comments
Inline Feedbacks
View all comments

Jasmine Birtles

Your money-making expert. Financial journalist, TV and radio personality.

Jasmine Birtles

Send this to a friend