How to Ensure Seamless Check Payments for Your Business

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Physical and online checks are efficient ways to send business payments. Here are some tips you should follow to ensure seamless check transfers:

Double-check the Information

Double-checking recipient information ensures that the money reaches the intended vendor or business. This will prevent potential problems, like lost payments and fraud. 

First, put today’s date in the upper right-hand corner of the check. Write the recipient’s name and double-check the spelling. Make sure you write the name of the payee clearly, starting from the left-hand side of the check. Write the amount in figures, and don’t use commas or currency signs in the amount box.

Lastly, sign your name on the designated signature line on the bottom right corner. It is also a good idea to double-check the account and routing number printed on your check. Know the difference between routing vs account number, as both are needed to reorder checks and ensure seamless transactions. 

Enforce Authorized Signatories

An authorized signatory is an individual who is legally permitted to handle transactions on behalf of the company. Having an authorized signatory sign your business checks will prevent unauthorized access. Most businesses choose their company secretary, assistant secretary, or chief financial officer as the authorized signatory. 

By enforcing authorized signatories, you can ensure greater accountability and transparency within the organization. 

Use Mobile Check Deposits

Mobile check deposit is a banking app feature that allows you to remotely deposit a check into your checking or savings account. While it is common for individual bank account holders, mobile check deposits can also benefit businesses. 

Instead of letting checks pile up or having someone take them to the bank, you can cash the checks as soon as they arrive. Mobile check deposits also ensure better record-keeping and robust financial management. 

Make sure to take clear pictures of both sides of the check before submitting it using the bank online app. 

Take Measure When Sending Checks by Mail

If you’re mailing a business check, take the following safety measures:

• Write the check using indelible black ink. 
• Take a picture of your check before mailing.
• Do not leave blank spaces in the check. 
• Do not fold or staple the check. 
• Do not write personal details like your Social Security number on the check. 
• Use a study, sealed envelope. 
• Make sure the envelope doesn’t show your company name or logo. 
• Use a security envelope with a tamper-evident seal. 

Mailing checks is one of the safest ways to send business payments. By taking precautionary measures, you can ensure peace of mind. 

Track Your Check

Once you’ve posted or initiated a business check, look at your account statement to see if your account has been debited. The delivery time for checks can vary. Checks mailed through USPS take between 4-6 business days, whereas mobile deposit checks arrive within 1-2 business days. 

Keep a hold of your check receipt for 14-30 days. If you notice any fraudulent activity, reach out to your bank’s customer support and report the issue.