bank check

A cashier's check (also known as a cashier's cheque, bank check, official check, teller's check, bank draft or treasurer's check) is a check guaranteed by a bank. They are usually treated as cash since most banks clear them instantly.

Cashier's checks feature the name of the issuing bank in a prominent location, usually the upper left-hand corner or upper center of the check. In addition, they are generally produced with enhanced security features, including watermarks, security thread, color-shifting ink, and special bond paper. These are designed to decrease the vulnerability to counterfeit items. In order to be recognized as a cashier's check, words to that effect must be included in a prominent place on the front of the item.

The payee's name, the written and numeric dollar amounts, the remitter's information, and other tracking information (such as the branch of issue), are printed on the front of the check. The check is generally signed by one or two bank employees or officers; however, some banks issue cashier's checks featuring a facsimile signature of the bank's chief executive officer or other senior official.

Some banks contract out the maintenance of their cashier's check accounts and check issuing. One leading contractor is Integrated Payment Systems, which issues cashier's checks and coordinates redemption of the items for many banks, in addition to issuing money orders and other payment instruments. In theory, teller's checks are checks issued by a financial institution but drawn on another institution, as is often the case with credit unions.

Due to an increase in fraudulent activities in 2006 many banks insist upon waiting for a cashier's check to clear the originating institution. Personal checks will thus have the same utility in such transactions.