Saturday, May 26, 2007

query: difference between cashiers check and certified check

A cashiers check aka teller check is issued by the teller at the bank. It's not your personal check. The bank will type one of THEIR checks and the teller will sign it. You will be noted as the remitter.

A certified check is YOUR check which has been stamped certified by the teller. The teller freezes these funds in your account. The check can't bounce.

Both types of checks can be forged. It's easier to forge a certified check so many title agents will no longer take certified checks.

Many title underwriters would prefer wires, but haven't made it mandatory. If we continue to see claims due to forged cashiers and certified checks, look for a switch to ALL WIRE funding at some point in the future.

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