Who wants to waste time and money these days going into the bank or ATM and lining up just to cash a check or money order? Did you know that you can use a cashing app solve this problem? You can now cash your checks straight from your mobile phone with no fees, in just minutes. You can even get the money instantly if you need it. In this post we’ll explain what to know, who to use and how to do it!
A new world of banking direct from your phone
The best cashing apps are not from the big beaurcratic, fee charging banks you might be thinking off. Since the day’s of lockdown, a bunch of new fintech companies have started bringing full banking services direct to the mobile of US citizens.
The best thing about these new fintech apps? They don’t just let you cash your checks quickly and easily. Here’s a list of some of the awesome banking bonuses you get to help manage your money and build your wealth with these new apps:
- fast account set up – within minutes
- savings and checking accounts inside the app
- savings on fees for overdrafts and transactions.
- access to automatic cash advance
- linked investment accounts with native, direct access to invest in stocks, ETFs, and sometimes cryptocurrency
- investment features like fractional trading and autoinvest, that can help you build wealth and get to financial freedom earlier (because that’s what we’re all about at the LLP after all!)
Now these fintech apps do make money. Some of them charge a small monthly subscription fee and others make money on credit transactions. BUT SO DOES YOUR BANK peeps! There’s no such thing as a free lunch but Fintech apps are eating the lunch of the big banks by undercutting them on fees (becasue they’re all online and efficient). And who wins if fees are lower? You!
If you want to know more about how these apps can help you save, track, invest and build wealth then stick around as we navigate you through a whole new world of online money.
In the meantime, lets take a look at how cashing a check from your mobile phone works with these apps…
What sorts of checks can you cash using a Fintech app?
Most cashing apps will allow you to cash and these checks direct from your mobile:
- Personal checks written to you
- Commercial pre-printed checks issued by a U.S. business to you such as:
- pay checks
- insurance agency checks
- money orders
- cashier’s checks
- rebate checks
- stock dividend checks
- U.S. Government-issued checks including:
- tax refunds
- federal, state and municipal government checks.
How to cash a check from your mobile phone
Simply follow these steps to cash a check with a cashing app – although menu selections may differ in each app.
- Log into your app
- Find the check deposit option in the menu
- Select the account you want to deposit the check into (i.e. checking or savings)
- Enter the check amount
- Take a photo of the check – front and back. It’s critical to ensure you obtain a clear picture on both sides of the check. You may run into difficulties completing a mobile check deposit if you don’t have a good image of both sides. Clean your camera lens if the images are fuzzy or unclear. Also, make sure to take photographs in proper lighting to ensure legibility.
- Review the information you entered is correct and then submit the deposit
- You will receive a confirmation message that your check has been deposited in the app.
Voila! You’re done.
8 tips you need know for mobile check deposit
There are a few things you need to know if you haven’t used your mobile to cash a check before. Once you know these things, you’ll never go to bank or ATM to cash a check again!
- Some apps – like Venmo and PayPal – will cash your check into to your native account. Other apps require a linked bank account to send your money too (IngoMoney).
- There are some things that may cause your check to be dishonored – like the check and account name not matching, failing to sign the check to endorse it, or unclear photos. Make sure you have confirmation in the app that the check has cleared before trying to spend the money!
- You need to sign the back of the check to endorse it before you photograph it
- All apps will confirm that you have submitted the check successfully.
- Some apps require you to keep the check for a period of time and then destroy it, others require you to write VOID across the check once it is confirmed as cashed
- There are check cashing limits that apply – generally more than $5 and less than $5000 for any one check.
- Your check needs to meet criteria, that we’ve included below.
- DON’T SAVE THE PHOTO OF YOUR CHECK ON YOUR PHONE or anywhere online! Make sure you delete the photo immediately.
Top 5 fastest cashing apps (for a fee)
If you need your money fast and you’re willing to pay, here are the best apps to look out for. These are popular Fintech apps that allow you to cash a check on your mobile and get instant access to your money:
- IngoMoney
- Paypal (which uses IngoMoney)
- ACE Flare
- Brinks money
- Venmo (which uses IngoMoney)
The fee to clear your check instantly is generally 1 to 2% for payroll and government checks with a pre-printed signature and 5% for all checks, with a $5 minimum fee per check.
If you don’t want to pay, you can still use these apps but it will take 10 days for your money to clear.
Top 4 easiest cashing apps (free)
These apps below might be a better option if you don’t want fees, and still want your check to clear quickly.
Each app has a native account – like a debit or checking account – within the app that you can cash your check to directly. You need to have one of those accounts set up to cash your check to it. But the thing is, because the companies operate solely online it is much easier to set up an account than with a bank.
If there is a native bank account inside the app you can use, it means you don’t have to cash your check in to linked bank account so you are likely to get it quicker. On top of that, these apps don’t charge you to cash checks.
Here is our list of the easiest and cheapest apps to cash a check using your mobile phone:
Can you use a bank apps to cash a check?
Yes. The are bank apps that allow you to cash checks, but you will need to have an account at the bank. This can be a painful and slow hurdle to overcome given the identification requirements of big banks in setting up an account. You also need to log in to your app, go to the menu and make sure the mobile check deposit option is turned on.
Some banks place a limit on the number of checks you can deposit with a time period, or a dollar limit on your check cashing.
Bank apps might be an easy solution if you’re already a customer, but you’re probably not getting any of the additional bells and whistles. Why not manage, save and invest your money cheaply and easily at the same time you cash your check?
If that sounds like you, its time to roll the dice with a fintech cashing app!
