You can cash a personal check at your own bank for free, but other banks may charge you or refuse

If the check is drawn on your bank account, your bank will cash it at no charge. If it is drawn on someone else's bank account, you have three options: deposit it into your own account (free, but takes one to three business days to clear), cash it at the bank that issued the check (usually free if you have ID, but that bank may refuse if you are not a customer), or cash it at a check-cashing service (fast, but costs money).

The bank that issued the check — called the drawee bank — is the only one legally required to cash it. Your own bank can refuse to cash a check drawn on another bank, and many do. Some will cash it for account holders only. Others will cash it for anyone with a valid ID, but may charge a fee of $5 to $15 or more.

Key Takeaways

  • Your own bank will cash checks drawn on your account at no charge, but other banks have no legal obligation to cash checks drawn elsewhere.
  • The bank that issued the check (the drawee bank) is your best option for cashing a check you do not want to deposit, and will usually do it free with ID.
  • Many banks now charge non-customers to cash checks, and some refuse entirely; call ahead or ask at the teller window before you assume they will.
  • Depositing a check into your account is free at any bank, but the funds may not be available for one to three business days depending on the check amount and your account type.
  • Check-cashing services and retailers like Walmart or grocery stores will cash checks the same day, but charge a percentage of the check amount or a flat fee.

Cashing a check at the bank that issued it

The drawee bank — the one printed on the check — must honor the check if the account holder has sufficient funds. This bank will almost always cash it for free if you present a valid government-issued ID. You do not need to be a customer of that bank.

However, many banks have begun restricting this service. Some will cash checks only for their own account holders. Others will cash checks for non-customers but charge $5 to $15 per check. A few large banks have stopped cashing third-party checks altogether. Call the bank's customer service line or visit a branch to ask their policy before you go.

If you are cashing a check drawn on a small local bank or credit union, that institution is more likely to cash it free for anyone with ID. Large national banks vary widely in their policies.

Depositing instead of cashing

Depositing a check into your own account is free at any bank, including banks where you do not have an account — you can use a mobile deposit app, an ATM, or a teller. The catch is timing: the funds are not immediately available.

Federal law requires banks to make the first $225 of a check available within one business day. The rest may take up to three business days, depending on the check amount, the banks involved, and whether the check is from an out-of-state bank. Some banks hold checks longer if you are a new account holder or if the check is large.

If you need the money the same day, depositing will not work. If you can wait, it is the cheapest option.

Check-cashing services and retail locations

Check-cashing stores, Walmart, grocery stores, and some pharmacies will cash personal checks the same day. The fee is typically 1 to 3 percent of the check amount, or a flat fee of $3 to $10, whichever is higher. A $500 check might cost $5 to $15 to cash.

These services are fastest if you need cash immediately and cannot reach the drawee bank. They require a valid ID and sometimes a second form of ID. Some require you to have a bank account or a prepaid card to use their service.

Retail check-cashing is more expensive than a bank, but faster than depositing. Use it only when you need same-day cash and the drawee bank is closed or will not cash the check.

What happens if the check bounces

If you cash a check and the account holder does not have enough money to cover it, the check bounces. The bank that cashed it will reverse the transaction and deduct the amount from your account. You will also be charged a returned-check fee, usually $15 to $35.

If you cashed the check at a check-cashing service, that service will pursue you for the money. If you deposited it, your bank will reverse the deposit and charge you a fee. Either way, you are responsible for the full amount of the check plus the fee.

There is no way to know if a check will bounce before you cash it. If you are unsure about the check, ask the person who gave it to you to verify the account has funds, or ask the drawee bank to verify the check before you cash it.

Cashing checks from online banks and credit unions

If the check is drawn on an online bank like Ally or Charles Schwab, you cannot walk into a physical branch to cash it — those banks have no branches. Your options are to deposit it into your own account (free, takes one to three days) or to cash it at a check-cashing service (costs money, same day).

Credit unions work the same way: if the check is drawn on a credit union, you can cash it at that credit union's branch if you are a member, or deposit it elsewhere. Non-members cannot usually cash checks at credit unions.

For checks from online banks and credit unions, depositing is usually the better choice unless you need cash the same day.

Frequently Asked Questions

Can a bank refuse to cash a check drawn on that bank?

Yes. While the bank is legally required to honor a valid check if funds are available, it can refuse to cash it in person and require you to deposit it instead. Some banks refuse to cash checks for non-customers entirely. Call ahead to confirm the bank's policy.

Do I need an account at a bank to cash a check there?

Not at the drawee bank — the bank that issued the check should cash it for anyone with a valid ID. However, many banks now charge non-customers or refuse them entirely. Your own bank may refuse to cash checks drawn on other banks unless you are an account holder.

How long does it take to cash a check at a bank?

If you are cashing it at the drawee bank in person, it takes a few minutes. If you are depositing it, the funds may take one to three business days to become available. Check-cashing services usually provide cash within minutes.

What if the check is post-dated?

A post-dated check is one dated for a future date. Banks are not required to cash or deposit a post-dated check before that date, though many will. If you try to cash a post-dated check early, the bank may refuse or may process it anyway — policies vary. Wait until the date on the check to avoid problems.

Can I cash a check if I do not have a government ID?

Most banks and check-cashing services require a valid government-issued ID like a driver's license or passport. If you do not have one, ask the bank or service what alternative forms of ID they accept. Some may accept a state ID card, tribal ID, or other documents.