A cashier’s check is a safe payment instrument issued by banks like Chase bank. The payer pays for it upfront and the issuing bank guarantees its credentials.
Let us discuss what is a cashier’s check, how you can get a Chase bank cashier’s check, and its pros and cons.
What is a Cashier’s Check?
A cashier’s check is a banking instrument that draws funds from a bank’s funds and not from a person’s account.
A cashier’s check is issued by a bank, a credit union, or an authorized financial institution. It is issued at the request of the customers and against a service fee.
A cashier’s check looks similar to a personal check physically. It contains the same information as a personal check.
It will include the bank name, payee name, amount (in words and figures), signatures, date, and often a watermark on its face. The information is verified by the bank. It means the written amount and signatures are backed by the bank.
therefore, it differs in characteristics and uses from personal checks.
It is often called an official check as well. It is guaranteed or backed by the bank and not the account holder. Therefore, it represents a more secure form of payment.
How Do I Get a Cashier’s Check at Chase in 2022?
JPMorgan Chase more commonly known as Chase bank also issues cashier’s checks. Like many other banks, Chase also issues cashier’s checks to its customers (known as members at Chase).
You can get a cashier’s check by paying cash or using funds from your bank account.
Here is a Simple Outline of How to get a cashier’s check at Chase.
- You can visit a Chase bank branch to order a cashier’s check. You can also apply online for a cashier’s check.
- If you want to transfer funds from your checking account, make sure your bank account is active and has sufficient funds.
- You’ll need sufficient funds in your bank account or in cash to apply for a cashier’s check at Chase. Although the check’s funds are drawn on the Chase bank, the bank will deduct that amount from your account.
- You can also provide cash at the counter to get a cashier’s check plus the fee if applicable.
- Next, you’ll need information about the payee. Provide full name, amount, and transaction purpose to the bank.
- The bank teller will prepare your cashier’s check and verify your account details.
- Ask for a receipt for your record and verify the information written on a cashier’s check.
What is the Cashier’s Check Fee at Chase?
The cashier’s check fee at the Chase bank depends on the customer’s account type. Chase bank offers free cashier’s checks on some accounts and charges fees on others.
Your Chase bank cashier’s check will be free if you have a:
- Secure Checking account
- Premier Plus Checking account
- Sapphire Checking account
Chase bank will charge $8 per Cashier’s check if you have a:
- Total Checking Account, or
- Student Account
The cashier’s check fee of $8 charged by Chase bank is well below its competitors like Bank of America ($20), Wells Fargo ($10), and Capital One ($ 15).
Where You Can Use a Chase Cashier’s Check?
A cashier’s check is a secured mode of payment as compared to your personal or business bank account check.
A cashier’s check contains information verified and backed by the issuing financial institution. It means all parties involved in a financial transaction can feel secure when using a cashier’s check.
A cashier’s check is often used when making large and important payments. It means these checks are not suitable for everyday spending.
Common uses of a cashier’s check are:
- Paying a large purchase amount
- Down payment of a loan
- Closing costs of a mortgage
- Down payment for the purchase of property
- Rental payment of vehicle
Similarly, a cashier’s check can be used for any other purpose where a payer needs a confirmed payment. It can also be used for immediate payments as the funds for a cashier’s check are available the next day.
Advantages of Using a Chase Cashier’s Check
A cashier’s check is a special instrument that is used for certain payments. It offers discrete advantages over a regular check or other payment methods.
The amount written on a cashier’s check is already withdrawn by the bank from the payer’s account. Therefore, the payee can feel secure that the check will not bounce due to insufficient funds.
Immediate Funds Availability
Since the issuing bank or credit union backs a cashier’s check, the funds are available immediately. The payee can withdraw funds the same day of receiving them.
Overall, a cashier’s check reduces risks for both parties. The payer can be assured of making a secured and on-time payment.
The payee can rest assured of the payment and check’s security. A cashier’s check contains more security features than a regular check.
Improved Trade Relations
Utilizing a secured mode of payment helps make financial transactions smooth. It means businesses and individuals can enjoy improved trade relations by using a cashier’s check for payments.
Disadvantages of Using a Chase Cashier’s Check
A cashier’s check comes with a few disadvantages as well.
A cashier’s check does not come free for all customers. Chase bank charges a fee of $8 per cashier’s check. Also, it may not be available for non-members of Chase bank.
Prone to Fraud and Scams
Like any other financial instrument, a cashier’s check is also prone to fraud and scams. Although it contains various security features, scammers can still get through you.
Not Available Everywhere
Not all banks, credit unions, and financial institutions offer cashier’s checks. Moreover, you’ll have to visit a branch by yourself in most cases to get the check.
Replacement is Hard
Unlike a regular check, the replacement for a cashier’s check is harder. Chase bank or any other issuing authority will often require an indemnity bond if you need a replacement for a cashier’s check.
Chase Cashier’s Check v Certified Check
A certified check is also a secured payment method. It is issued by a bank or credit union with similar features to a cashier’s check.
A certified check is signed by the payer and the bank simultaneously. The payment amount is deducted directly from the payer’s account.
It means it is also backed by the issuing bank. However, its issuing process and fees differ from a cashier’s check.
A certified check is less secured than a cashier’s check as the issuing authority does not deduct funds from its own account. Also, it has fewer security features as compared to the cashier’s check.
However, a certified check is more secure than a regular check.
Chase Cashier’s Check v Money Order
A money order is also a prepaid payment instrument. The payer pays for the amount upfront and gets a money order.
The payer can then write the payee’s details on the money order. A money order also costs less than a cashier’s check.
However, money orders are restricted to the maximum limit per instrument. Money orders also come with specific dollar amounts.
Overall, the Chase bank cashier’s check is the most secured form of payment as compared to a money order or a certified check.