If you‘ve ever received a handwritten check, you know they can be a bit of a hassle to cash. Unlike pre-printed checks that have information like the account holder‘s name and address already filled in, handwritten checks are completed entirely by hand. This makes them easier to write but harder to process, leading many businesses to be wary of accepting them.
One common question people have is whether Walmart, known for its many financial services, will cash a handwritten check. In this comprehensive guide, we‘ll cover everything you need to know about Walmart‘s check cashing policies and what your other options are for getting a handwritten check cashed.
The Risks of Handwritten Checks
Handwritten checks come with a higher risk of fraud and returned payments compared to pre-printed checks. According to the Federal Reserve, check fraud accounted for $1.3 billion in losses in 2018, with an average loss per case of $1,500.
Additionally, handwritten checks are more prone to errors and omissions that can cause them to be returned or rejected. A study by Certegy, a check authorization service, found that 1.5% of handwritten checks are returned due to insufficient funds, compared to just 0.5% of pre-printed checks.
These risks are a major reason why many retailers, including Walmart, are hesitant to accept handwritten checks. By limiting check cashing to pre-printed checks only, they can reduce their exposure to potential losses.
Check Usage in the United States
Despite the growing popularity of digital payment methods, checks are still a common form of payment in the United States. However, check usage has been steadily declining over the past two decades. According to the Federal Reserve Payments Study, the number of checks written annually fell 7.2% per year between 2015 and 2018.
| Year | Number of Checks Written (Billions) |
|---|---|
| 2000 | 41.9 |
| 2003 | 36.6 |
| 2006 | 30.5 |
| 2009 | 24.5 |
| 2012 | 18.3 |
| 2015 | 17.3 |
| 2018 | 14.5 |
As check usage continues to decline, the availability of check cashing services may also decrease. This could make it more difficult for those who rely on handwritten checks to access their funds.
Walmart‘s Policy on Handwritten Checks
In most cases, Walmart will not cash a check that has been handwritten, even if it‘s from a business account. The company‘s official policy is to only accept pre-printed checks that include:
- The name of the company or issuer
- A valid phone number
- A complete address
- The date the check was issued
- The check amount written out in both numeric and word form
However, there are some exceptions to this policy. Check cashing practices can vary between different Walmart locations, with some stores being more lenient than others. The regulations and laws regarding check cashing also vary from state to state.
For example, in some states like Texas and Ohio, there are no specific laws regarding check cashing. This means that retailers have more discretion in deciding which checks they will accept. In these states, you may have a better chance of finding a Walmart that will cash your handwritten check.
On the other hand, states like California and New York have stricter regulations on check cashing. In California, check cashers must be licensed by the state and are subject to certain restrictions, such as a cap on the fees they can charge. These regulations can make it harder to find a Walmart or other retailer willing to cash a handwritten check.
Finding a Walmart That Will Cash Your Handwritten Check
If you‘re unsure whether your local Walmart will make an exception and cash a handwritten check, your best bet is to contact the store directly. You can find the phone number for individual Walmart locations using the store finder tool on their website.
When you call, ask to speak with the customer service desk or a manager. Explain that you have a handwritten check and you‘d like to know if their location would be willing to cash it. They‘ll be able to give you a definitive answer and let you know about any specific requirements you‘d need to meet, such as providing additional identification.
Another option is to look for a Walmart store that has a dedicated Money Center. These are special sections of the store that handle financial transactions like check cashing, money transfers, and bill payments. Money Centers are more likely to accept different types of checks, although they still may not take handwritten ones.
Alternative Options for Cashing Handwritten Checks
If your local Walmart won‘t cash your handwritten check, don‘t worry – you still have plenty of other options. Here are some of the most common places that will cash a handwritten check:
Your Bank or Credit Union
The easiest place to cash a check is often your own bank or credit union. If you have an account with a financial institution, they‘ll usually cash a check for you free of charge, although they may place a hold on the funds until the check clears.
If you don‘t have a bank account, you can try cashing the check at the bank that issued it. For example, if the check is drawn on a Wells Fargo account, take it to a Wells Fargo branch. They may charge a fee if you‘re not an account holder, but they‘ll be more likely to accept the check since they can verify the account it‘s coming from.
Check Cashing Stores
Another option is to visit a check cashing store. These are businesses that specialize in cashing checks for people who don‘t have bank accounts or need quick access to their money. Some popular check cashing chains include:
- ACE Cash Express
- Amscot
- Check ‘n Go
- Money Mart
- The Check Cashing Store
Check cashing stores will almost always accept handwritten checks, but they also charge the highest fees. Expect to pay a flat rate or a percentage of the check amount, which can add up quickly for larger checks.
Grocery Stores
Some grocery stores, particularly larger chains, offer check cashing services at the customer service desk. They may be willing to cash a handwritten check, although they‘ll likely charge a fee similar to a check cashing store. Popular grocery stores that cash checks include:
- Kroger
- Publix
- Safeway
- Winn-Dixie
Comparing Check Cashing Fees
The fees for cashing a handwritten check can vary widely depending on where you go. Here‘s a breakdown of the typical fees charged by different types of check cashing providers:
| Location | Typical Fee |
|---|---|
| Banks and Credit Unions | $0 – $10 flat fee for non-customers |
| Walmart | $4 for checks up to $1,000 |
| $8 for checks over $1,000 | |
| Grocery Stores | $4 – $6 flat fee |
| 1% – 3% of check amount | |
| Check Cashing Stores | 2% – 3% of check amount |
| Additional flat fees may apply |
As you can see, check cashing stores tend to have the highest fees, while banks and credit unions are often the cheapest option – especially if you have an account with them. Walmart and grocery stores fall somewhere in the middle, with fees that can add up quickly for larger checks.
Mobile Check Deposit: A Modern Alternative
If you‘re looking to avoid check cashing fees altogether, another option to consider is mobile check deposit. Many banks and credit unions now offer this service, which allows you to deposit checks using your smartphone or tablet.
To use mobile check deposit, you‘ll need to download your bank‘s mobile app and follow the instructions for depositing a check. This typically involves taking a photo of the front and back of the check and submitting it through the app.
Mobile check deposit is a convenient way to deposit handwritten checks without having to visit a physical bank branch or pay any fees. However, keep in mind that not all checks are eligible for mobile deposit. Your bank may have restrictions on the type or amount of checks that can be deposited this way.
The Impact of Check Cashing Fees on the Unbanked
While check cashing fees may seem like a minor inconvenience for some, they can be a significant burden for those who are unbanked or underbanked. According to a 2019 report by the Federal Reserve, 6% of U.S. adults are unbanked, meaning they don‘t have a checking or savings account. An additional 16% are underbanked, meaning they have a bank account but also rely on alternative financial services like check cashing or payday loans.
For these individuals, check cashing fees can quickly add up. A report by the Brookings Institution found that the average unbanked household spends $198 per year on check cashing fees. For a family earning $25,000 per year, that‘s nearly 1% of their annual income.
These fees can be especially harmful for those who are already struggling to make ends meet. In many cases, the people who are most likely to use check cashing services are also those who can least afford the fees.
The Future of Check Cashing
As digital payment methods continue to grow in popularity, the future of check cashing services is uncertain. Some experts predict that checks will eventually become obsolete, replaced entirely by electronic payments.
However, others argue that there will always be a need for check cashing services, particularly for those who are unbanked or underbanked. As long as there are people who rely on paper checks for their income, there will be a demand for places to cash those checks.
That said, the check cashing industry is likely to undergo significant changes in the coming years. With increasing pressure to reduce fees and improve access to financial services for underserved populations, we may see more regulation of the industry or the emergence of new, more affordable check cashing options.
Frequently Asked Questions
-
Can I cash a handwritten check at an ATM?
No, ATMs can only accept pre-printed checks. You‘ll need to visit a bank branch, check cashing store, or other location that offers check cashing services to cash a handwritten check. -
What happens if a handwritten check I cash bounces?
If you cash a handwritten check that is later returned due to insufficient funds, you may be responsible for paying a returned check fee. This fee can be charged by both the check cashing provider and the bank that issued the check. In some cases, you may also be required to repay the amount of the check. -
Are there any limits on the amount of a handwritten check I can cash?
The limits on check cashing vary by location. Some places may have a maximum check amount that they‘re willing to cash, while others may limit the total amount of checks you can cash in a given time period. It‘s best to call ahead and ask about any limits before attempting to cash a large handwritten check. -
Do I need any special identification to cash a handwritten check?
Most locations will require at least one form of valid, government-issued photo ID to cash a check. This could include a driver‘s license, passport, or military ID. Some places may also ask for a second form of identification or proof of address, particularly for larger checks. -
How long does it take for the funds from a handwritten check to be available?
The availability of funds from a cashed handwritten check can vary. Some locations may give you the cash immediately, while others may place a hold on the funds until the check clears. This process can take several business days, so it‘s important to ask about the expected hold time before cashing a check.
Final Thoughts
While Walmart is a convenient place to cash pre-printed checks, they generally won‘t accept handwritten ones due to the higher risk involved. However, that doesn‘t mean you‘re out of luck if you receive a handwritten check. From banks and credit unions to check cashing stores and grocery stores, there are still plenty of places that will convert your check to cash.
The key is to do your research ahead of time and be prepared for potential fees or waiting periods. By understanding your options and the risks involved, you can ensure you‘re able to access your money as quickly and affordably as possible.
As check usage continues to decline and digital payment methods become more prevalent, the landscape of check cashing services is likely to change. However, for now, handwritten checks remain a reality for many people – and knowing where and how to cash them is an important financial skill.
