Guaranteed Checks

Guaranteed Checks

 

A Guaranteed Check is one that is drawn on Heartland Credit Union from the account of a member. It is the equivalent of a bank's Cashier's Check or Corporate Draft, and there is no fee for the first two per month. After a member has requested over two guaranteed checks, the fee will depend on the member’s relationship tier. Young at Heart Club members get all guaranteed checks free. The fee will be deducted from the member’s account at the end of the month. It is not necessary for the staff member to charge the fee.

 

Before accepting a guaranteed check to cash or deposit, please check to make sure there isn’t a stop payment on the check.   Instructions can be found at the bottom of this screen under “Sorting / Searching for a Check (MNSERV or MNACCK Member Check Disbursement Inq.)”.

 

  1. The Teller Processing Code should be changed from “Funds In” to “Check”.
    1. You could use the Proc Code “C”.
  2. Type in the suffix under “Account type” and click Enter.
  3. Fill in the required fields and press Enter when you are ready to print the check. Only press Enter one time! Each time you press Enter, a check is printed!
    1. When a Guaranteed Check is made payable to someone other than the primary member, it is recommended that the primary member be listed on the check as the “Remitter”. That notation may prevent the check being used for a purpose other than that intended by our member.
  4. If no other checks are needed at this time, use F5-Post. Otherwise, continue creating items, using Enter to process each one. When done, you must use F5-Post to complete the member transaction.
  5. Before giving the check to the member, stamp the check with a signature if necessary and have the member sign the check stub or signature pad to indicate receipt of the check.
  6. If the member deposited cash in order to withdraw the funds via Guaranteed Check and the dollar amount of that deposit was between $3,000.00 and $10,000.00 it will also be necessary to log the transaction on the Monetary Log at your location.
  7. When a Guaranteed Check is made payable to a non-member, it may be necessary to scan the name of the payee against the OFAC.   Please see the Regulations section of the manual for the circumstances under which the scan is necessary.

 

Important Cautions

  • If you leave the screen blank (do not enter an amount), using F5-Post will complete any other portions of the transaction that were entered on previous teller screens without producing a check or money order.
  • Once an amount has been entered, however, you must post and print the check.
  • Because the items go directly to the printer when Enter is used, be sure to have check paper ready to go before creating your first check. The same paper can be used for both.
  • Finally, once Enter has been used to create the check, be careful not to use Enter a second time (unless another amount has been entered). This can cause check numbering sequence conflicts. Instead, once the last check has been created, use F5-Post to leave the screen.
  • F3-Backup can be used to return to the previous screen only if no checks have been entered. If a check has been printed, you must use F5-Post to continue.

Please make sure when you go to save you actually save the reciept rather than canceling. Not doing so will cause accounting issues.

Trouble Shooting - Guaranteed Checks

      

  1. Have tellers reset check printers to see if check will print before proceeding
  2. If a check needs to be reprinted because the Pay To information is incorrect, the check was damaged, or it didn’t print and the problem is caught the same day:
    1. Use the Reprint CU Checks feature (on menu MNSERV) to spoil the original check and print another check for the same amount. (This creates a new check in the check register but does not produce another withdrawal from the member's account.)
    2. Make sure the status of the check is “Spoiled” through the MNSERV Member Check Disbursement Inq. Screen (Instructions below).
    3. Write “Spoiled” on it and send the original spoiled check to Accounting in the courier or in their mailboxes.  The general ledger is not affected because the amount did not change.
    4. Guaranteed checks are never to be reversed.

 

  1. If a check needs to be reprinted because the amount/information is incorrect, or if the member doesn’t need a check made payable to someone other than themselves (regardless of when the check was printed):
    1. Write “Not used for intended purposes” on the back and redeposit into member’s account.
    2. Print the check correctly.

 

  1. If a member brings in a guaranteed check made payable to themselves, they can endorse the check and deposit it like normal.

 

  1. If a check is still outstanding after 6 months it is moved to an unclaimed property general ledger until it is turned over to the State of Illinois. If member comes in with a check that is over 6 months old, first check the status of the check (MNACCK #17).  Find the check in question – then select display on the check - look under TRACE # to see if it states the check is STALE, (See letter C below)  if the check is stale, send it to accounting to remove the funds from unclaimed property.  If the member is in need of the funds immediately and the accounting department is unavailable, refer the member to a manager who can issue the credit to the member from the suspense GL (870.00).  Please notify accounting by email of the situation so they can clear the suspense GL immediately. 

 

  1. Guaranteed checks are not automatically voided after 90 days.  We do not void checks unless the member has the check (MSOs are able to make exceptions).  ALL guaranteed checks older than 90 days need to have the status checked to ensure they haven’t already had a stop placed put on them. 
  2. If the check is less than 6 months old follow instructions on #2.
  3. Stale-dated checks will have a status of “Stopped”, but the trace line will reference the reason for the stop.

 

 

Sorting / Searching for a Check (MNSERV or MNACCK Member Check Disbursement Inq.)

  • To sort the list, click on any of the pushbuttons at the top of the screen (such as “Check No” or “Check Date”). The list will simply be sorted by that column, with the first item shown at the top of the list.
  • To search for an item, first click the appropriate pushbutton to sort the list. For example, if you are searching for a check number, click the “Check No” button to sort the list. Then move to the field next to the button and type the text, number or amount you wish to find. (For text fields such as the Payee field, a partial word can be entered.) Then click the OK (checkmark) button located next to that field to sort the list and display that item at the top.

 

Last Updated: June 24, 2014