Certified Check vs. Cashier Check
When comparing a certified check vs. cashier check, it’s essential to understand their functions and benefits. Both are secure forms of payment but are issued differently.
How They Are Issued
A cashier’s check is drawn against the bank’s funds, while a certified check is drawn against the account holder’s funds.
Bank Involvement
Cashier’s checks involve the bank acting as a guarantor, making them more secure for larger transactions.
Fees and Charges
Both types of checks might have associated fees, which can vary from bank to bank.
Who Uses Them?
Certified checks are often preferred for personal transactions, while cashier’s checks are more common in real estate deals.
Processing and Availability
Both checks are processed quickly, but cashier’s checks can be obtained immediately at the bank.
Legal Protections
Each type of check offers different levels of protection against fraud, with cashier’s checks generally being more secure.
Conclusion
Choosing between these two options depends on the transaction type and amount.
FAQs
For specific queries, always consult your bank for advice tailored to your situation.