Canceled Check

Key takeaways

• A canceled check is one that has been paid or cleared by the bank it was drawn on and is therefore void for further use.
• Canceled checks (or their digital images) are commonly used as proof of payment.
• You can cancel a check before it’s cashed by voiding it or requesting a stop payment from your bank.

What is a canceled check?

A canceled check is a check that has completed the clearing process: the drawee bank (the bank the check was drawn on) has paid the payee’s bank and the funds have moved from the payer’s account. Once cleared, the check is marked or archived as canceled so it can’t be used again.

How a check becomes canceled (simplified)

1. The payee signs the back of the check (endorsement) and deposits it.
2. The payee’s bank transmits the check to the drawee bank (now usually an electronic image sent through Federal Reserve systems).
3. The drawee bank debits the payer’s account and transfers funds to the payee’s bank if sufficient funds are available.
4. The payee’s bank credits the payee’s account and the check is stamped or recorded as canceled.

Note: Most modern check clearing is electronic. Banks typically keep digital images rather than returning original paper checks.

Using canceled checks as proof

Canceled checks or scanned images serve as proof that a payment was made and cleared. They are commonly accepted for recordkeeping, tax verification, and dispute resolution.

Accessing canceled checks

• Online/mobile banking: Many banks provide searchable images of canceled checks accessible from your account.
• Monthly statements: Some institutions may include copies or images with statements.
• Direct request: You can request a copy from your bank; fees may apply for paper or historical copies.

Example

Lee writes a check to David. David deposits it; his bank sends an electronic image to Lee’s bank. Lee’s bank debits Lee’s account and sends funds to David’s bank. The check is then recorded as canceled, and David’s deposit is final.

Canceled checks vs. returned checks

A canceled check is honored and settled. A returned (or bounced) check failed to clear and will not provide funds to the payee. Common reasons a check is returned:
* Insufficient funds in the payer’s account (NSF).
* The account is closed.
* The check is stale-dated (typically older than six months).
* The signer lacked authorization.
* A stop-payment order was placed.

Consequences often include bank fees for both the check writer (NSF fee) and the recipient (returned-check fee).

How to cancel a check you wrote

• If you still have the check: write “VOID” across it to prevent acceptance.
• If the check is lost or already sent: contact your bank and request a stop-payment. Banks may accept requests by phone, online, or require written authorization. Provide account and routing numbers, check number, and amount. Fees and time limits may apply.

How to get a copy of a canceled check

• Check your online or mobile banking for images.
• Look at your monthly statement if images are included.
• Request a copy from the bank — expect possible fees for paper or archived copies.

Cleared check vs. canceled check

A cleared check is one whose funds have been successfully transferred between banks. Once cleared, the check is marked canceled to prevent reuse.

How long does it take?

Most deposited checks clear in about two business days, though it can take up to five business days or longer depending on the check amount, deposit method, bank relationship, and any holds placed on the deposit.

Conclusion

Canceled checks confirm that a payment has been processed and cannot be reused. You can prevent a check from being cashed by voiding it or placing a stop-payment. For records or proof of payment, use online banking to retrieve scanned images or request copies from your bank.