At some point, we've all been there. You're a few days away from payday and you need cash now. Or maybe you don't have a bank account and you need a place to cash your paycheck. That's where check cashing stores come in. In this blog post, we'll give you the rundown on everything you need to know about check cashing stores, from how they work to what fees they charge.
How Check Cashing Stores Work
A check cashing store is a business that allows customers to cash checks for a fee. The fee is usually a percentage of the check amount or a flat rate, whichever is greater. For example, if you were to cash a $100 check at a store that charges 3% per check, you would owe the store $3. If the store charged a flat rate of $5 per check, you would still owe the store $5.
In order to cash a check at a store, you will need to provide the following:
- A government-issued ID (e.g., driver's license, passport)
Once the store has verified your identity and the check is deemed valid, they will give you the cash minus the fee. It's important to note that not all check cashing stores are created equal. Some stores may charge higher fees than others, so it's always a good idea to call ahead or do some research online before heading to a particular store.
What Types of Checks Can Be Cashed?
Most stores will cash personal checks, money orders, and payroll checks. Some stores may also cash government checks and insurance settlement checks. However, there are some types of checks that cannot be cashed at stores, including starter checks (e.g., those issued by new businesses), two-party checks (e.g., those made out to two people), and post-dated checks (e.g., those with future dates).
Conclusion:
Check cashing stores can be a convenient way to get access to cash when you need it most. However, it's important to be aware of how they work and what fees they charge before using one of these services. By doing your research ahead of time, you can ensure that you get the best possible deal when you need to cash a check.