How Much Does a Certified Check Cost?
A certified check is a check that verifies that there is a sufficient amount of funds in the bank account to complete the transaction. A certified check is commonly used for transactions such as a down payment on a home, a car purchase or a larger purchase where the funds need to be guaranteed. Unlike a normal check, these checks cannot bounce and will ensure the recipient that the cash will be there. The cost of a certified check will depend on the amount needed and the bank where the transaction is processed.
How much is it?
- No matter what bank you use, they are more than likely going to have a service that caters to certified checks. These transactions are commonly done with the bank teller. On average, plan on spending anywhere from $0 to $15 for a service fee. It is not uncommon for a bank give out a certified check for free to its customers.
- For example, popular banks such as Chase and Bank of America charge anywhere from $5 to $10 depending on the type of account that you have.
- According to the website PCGuide.com, the cost of a money order that is less than $700 in value is going to be less than $1 most of the time if purchased through the local post office.
What are the extra costs?
- If you do not have a bank account with the particular bank, most are going to charge more than those that have a bank account with them. Be prepared to pay more than those that have an account.
- Amounts that are more than $500 are going to have a higher surcharge than those that are less than $500. The denomination of the check can influence the check fee.
What is going to be included?
- A certified check is going to guarantee the recipient that the funds are available. This check cannot bounce like a personal check. To get a certified check, simply ask the teller for the amount you wish to have or fill out paperwork in regards to who it is going to, etc. Once the transaction is complete, a check that resembles a personal check will be handed to you. Be sure to treat this as if it was cash.
How can I save money?
- Credit Unions are commonly known to have lower rates for items such as a certified check. If you are not a member of a credit union, highly consider joining one.
- Another place to check for a certified check is the local post office. Many have found that the post office has some of the best rates in terms of obtaining one.
- Check with your bank before you go to any other bank. Most banks are more than happy to give you a discounted rate if you are already a customer.