Home Page link  

Why is number preprinted on computer checks?

  
Groups | Search | About
User Password
Register Now! Lost Password?

Quicken Personal Finance Discussions - Quicken - personal finance software discussions

 Post an article  get this group's latest topics as an RSS feed add this group's latest topics to your My MSN content add this group's latest topics to your My Yahoo content  add this group's latest topics to your Google content  YahooMyWeb Yahoo!  Google Google  Windows Live Favorites Windows Live  del.icio.us del.icio.us  digg digg  Add to Netscape Netscape
Subject Author Date
Why is number preprinted on computer checks? DP 05-09-2006
Posted by Jim Nugent on May 10, 2006, 7:32 pm
Please log in for more thread options
> Ah.... I did not know that.
>
> However, when I make an online payment to Allstate Insurance they
> make me give them a check number. So I just make one up. Hasn't
> caused a problem with the bank yet.
>
> I'm not sure why Allstate asks for that, since every other online
> transfer I do with other companies does not require a check number.

When you get your bank statement back (or check online) does the check
number you made up appear next to the payment to Allstate? I suspect it
does. I'm guessing it has to do with how Allstate implements their payments-
they may actually print a check for your payment and mark it "signature on
file."

Also I think the idea is for you to record the next check # in the register
of your checkbook with the payment to Allstate and then void the paper check
since it won't be used. I don't think the back cares what the number really
is. We rarely use paper checks and don't even try to keep the paper register
current. If I need a check, I usually can't find the checkbook anyway so I
grab a pack checks from the supply and steal one. The numbers are out of
order and strange, but since the bank can display an image of the check via
their web site we can keep it straight in Quicken.

> What about VersaCheck? I've never used it but doesn't it essentially
> print each check from scratch? The forms are blank until your printer
> prints the account number, amount, check number, etc? Right? And it's
> not printing in MICR ink, I would assume?
> Just asking.

I don't know anyhting about VersaCheck, but if it prints your account # and
the bank routing number on the check I can't see how they could get away
without using MICR ink.
--
Jim
"Remember, an amateur built the Ark; professionals built the Titanic."



Posted by DP on May 10, 2006, 7:40 pm
Please log in for more thread options
>
> When you get your bank statement back (or check online) does the check
> number you made up appear next to the payment to Allstate? I suspect it
> does.

Yes, it does. I usually give the allstate checks a five-digit number since
all of my checks (both computer checks and the regular checkbook checks) are
four-digit jobs. That way I'm sure I'm not duplicating a number.

> Also I think the idea is for you to record the next check # in the
> register
> of your checkbook with the payment to Allstate and then void the paper
> check
> since it won't be used.

Well... I don't do that.

> We rarely use paper checks and don't even try to keep the paper register
> current. If I need a check, I usually can't find the checkbook anyway so I
> grab a pack checks from the supply and steal one. The numbers are out of
> order and strange, but since the bank can display an image of the check
> via
> their web site we can keep it straight in Quicken.
>


I'm much like you in that regard. And besides, I do so much via online
transfers now that I rarely use checks. My debit card has taken the place of
my checkbook in supermarkets etc.
When I do need a check, I use a computer check And those pretty much have to
be used in numerical order anyway.




Posted by John Pollard on May 10, 2006, 8:49 pm
Please log in for more thread options
Jim Nugent wrote:
> I don't know anything about VersaCheck, but if it prints your
> account
> # and the bank routing number on the check I can't see how
> they could
> get away without using MICR ink.

I suspect that VersaCheck assumes the user will take appropriate
precautions: including using MICR ink where necessary.

I believe some banks/check-processors will not require the MICR
ink ... but I think it is a bad bet to rely on that.

--
John Pollard
First initial underscore Last name at mchsi dot com
Please reply to newsgroup



Posted by Andrew on May 10, 2006, 9:29 pm
Please log in for more thread options
I used to use Checkmagic to do my own checks - here's the website:
http://www.checkmagic.com/ .

Some info they currently have concerning MICR:

The American Bankers Association (ABA) has set the standards for the shape
and size of the special characters that are printed at the bottom of your
checks. These encode check routing and other information that allows your
check to be read and processed by the automatic equipment throughout the
banking system. It is this equipment and its high-speed readers that let the
banking system process millions of checks each day.
These special characters are called MICR (Magnetic Ink Character
Recognition) characters because they were originally designed to be printed
in a special magnetic ink and read using magnetic sensors in the banks'
machinery. However, almost all banks (more than 90%) now use optical sensors
(OCR -Optical Character Recognition) to read your checks. This means that
the banks' equipment can read the MICR characters as long as they are
printed clearly and accurately, with magnetic or standard ink or toner.

--
-------------------------------------------------------------
Regards -

- Andrew



Posted by Laura on May 11, 2006, 7:52 am
Please log in for more thread options
Andrew wrote:
> I used to use Checkmagic to do my own checks - here's the website:
> http://www.checkmagic.com/ .
>
> Some info they currently have concerning MICR:
>
> The American Bankers Association (ABA) has set the standards for the shape
> and size of the special characters that are printed at the bottom of your
> checks. These encode check routing and other information that allows your
> check to be read and processed by the automatic equipment throughout the
> banking system. It is this equipment and its high-speed readers that let the
> banking system process millions of checks each day.
> These special characters are called MICR (Magnetic Ink Character
> Recognition) characters because they were originally designed to be printed
> in a special magnetic ink and read using magnetic sensors in the banks'
> machinery. However, almost all banks (more than 90%) now use optical sensors
> (OCR -Optical Character Recognition) to read your checks. This means that
> the banks' equipment can read the MICR characters as long as they are
> printed clearly and accurately, with magnetic or standard ink or toner.

I have seen numerous discussions on some accounting e-mail & news groups
recommending that until 100% of the banks switch over to the optical sensors
that we should continue to use the MICR ink if we are printing our own
checks. One never knows when you might be sending a check to someone who
does banking in that 10% group.

Similar ThreadsPosted
Future checks February 13, 2007, 10:14 am
Alignment of Checks March 21, 2007, 9:31 am
Purging reconciled checks February 20, 2007, 10:00 pm
checks print "void non-negotiable" November 17, 2007, 12:45 pm
Q2006 - Account on Checks Toolbar Icon January 18, 2008, 1:16 pm
Quicken 2006 and Costco Laser wallet checks November 8, 2008, 4:43 pm
Tiny OT: "Sparing Paper Checks That Last Trip to the Bank" - NY Times Business Section November 9, 2006, 9:59 pm
Last Check Number? November 4, 2008, 5:12 pm
Number of Backup Copies August 9, 2006, 12:01 pm
What is the limit of number of securities? January 10, 2008, 10:57 am

Contact Us | Privacy Policy
This site is not affiliated with Intuit - makers of Quickbooks and Quicken software
This site is not affiliated with Sage Software - makers of Peachtree accounting software
XML SitemapXML Sitemap