What is a Bank Check?

• A bank check is an "official" check drawn by the bank against its own funds. The bank is obligated to pay the unaltered amount of the check to the true owner. When a bank makes a loan it will usually pay the loan proceeds in the form of a bank check. In addition, a bank's customer may purchase a bank check by paying the amount of the check plus a bank fee.
  
  

Difference Between a Bank Check and a Certified Check

• For the person being paid, there is no practical difference between a certified check and a bank check. For either check, the bank is liable to the true owner for the unaltered amount of the check. However, a certified check is drawn on the account of the bank depositor who signs the check and presents it to the bank for certification. The bank "certifies" that there are sufficient funds to pay the check and removes the funds from the drawer's account. The bank and the drawer are both liable for the unaltered amount of a certified check. A bank check is drawn on the bank's own account and signed by the bank itself. A bank check is a direct obligation of the bank.
  
  

Difference Between a Bank Check and a Personal Check

• A personal check is the obligation of the drawer of the check. When the check is presented for payment, the face amount of the check is paid out of funds in the drawer's account. If there are not sufficient funds in the account, the check is returned, or "bounced," by the bank. The drawer is then liable to the payee for the amount of the check. The bank has no obligation on a personal check, other than to honor the check, if it is properly payable.
  
  

Counterfeit Bank Checks

• The use of counterfeit checks, including counterfeit bank checks, has become a significant problem in the last few years. Technology has made it easier than ever to create fraudulent checks. Depositors who rely on these checks and then withdraw the funds or forward merchandise take the risk of losing the money and the goods.
  
  

How to Verify

• To verify a bank check you can look up the bank's routing number and find the bank's telephone number. The routing number can be found through Consumerfraudreporting.org (see Resources). Call the bank that issued the bank check to verify that it is authentic and has not been reported stolen. However, be aware that until that check clears (and sometimes even after it clears) the check can be subject to a stop-payment order if the check is reported to be lost or stolen.