Should a church cash or deposit checks made payable to an individual or another institution?
1Comments
3rd Party Checks
AAnonymous in NC
The church should not make it a practice to ever "cash" a check for anyone (either a 2nd party or a 3rd party check)--that is a banking service.
All checks received by the church should be deposited into the appropriate church bank account. As with all checks that are accepted by a church for whatever reason and then deposited, the church runs the risk of accepting a "bad" check. For obvious reasons, it is extra hard for the church to collect on a returned check. Our church (as a general rule) makes it a policy to accept 2-party checks only and if it proves to be "bad", we make one phone call and then drop the matter. Hope this helps.
All checks received by the church should be deposited into the appropriate church bank account. As with all checks that are accepted by a church for whatever reason and then deposited, the church runs the risk of accepting a "bad" check. For obvious reasons, it is extra hard for the church to collect on a returned check. Our church (as a general rule) makes it a policy to accept 2-party checks only and if it proves to be "bad", we make one phone call and then drop the matter. Hope this helps.