The retail store charges a fee based on the type of transaction. The business owner receives the money in cash or through a Walmart card. This card, it should be noted, comes with an additional fee. – Cheques up to $1,000 – For cheques of $1,000 or less, the maximum fee you pay at Walmart is only $4. If you don`t have other options, using the service at Walmart is fine. But there are always other options and a local credit union would be happy to have your business. Walmart limits cheque cashing to $5,000 per cheque, but extends it to $7,500 from January to April. Although Walmart is a cheaper option for cashing your check than banks, they may refuse to cash your check. Here are a few reasons why Walmart may refuse to cash a check. Cashing a cheque may seem like a simple process, but it gets complicated when the cheque is made payable to your business.
If your business is a sole proprietorship, this isn`t really a problem because you and your business are considered the same entity. However, if you have a partnership, limited liability company or corporation, cashing a business check is not only more complex, but not an option, depending on the banking institution. If a person does not have a checking account to deposit the cheque, the business cheque can be cashed at the bank indicated on the cheque. Alternatively, the corporate check can be cashed at a check cashing service: Walmart Money Center, Payday Advance, Moneytree, ACE Cash Express, Speedy Cash, etc. Things can be much easier if you have a corporate checking account and add a “Doing Business As” (DBA) to your account. This is important to help the bank confirm that you and your business are the same entity so that you can cash the business check issued to your business. Let`s put that in perspective. When you write a business check, the money is withdrawn from your business bank account, not your individual account. The same is true when it comes to cashing a business cheque in the sense that the money belongs to the business and not to you as an individual.
If your banking institution does not allow business cheques to be cashed, depositing the cheque and writing a business cheque in “cash” may serve the same purpose. Keep in mind that a bank often holds at least a percentage of the value of a check until it clears before providing the funds. Often, there are stores in smaller neighborhoods that offer cheque cashing services to business owners. These stores are generally lenient when it comes to cashing business checks, although this service can be quite expensive. The store usually charges a fee based on a percentage of the check amount. This percentage may be 5% or more. For example, Money Services, which works with retailers like Kroger, Fred Meyer, Ralphs, Smith`s and others, cashes cheques made to businesses. Banks charge higher fees to cash a check compared to Walmart.
However, banks offer more convenience because they are more than the number of Walmart stores in your area. Carly runs a home store where she makes her own jewelry for customers. As a sole proprietor, Carly doesn`t want to open a separate bank account for her business. She prefers her company`s money to be paid directly into her personal checking account. She finds this model increasingly simple, allowing her to pay rent, food and materials from one place. She doesn`t worry too much about liability issues, as her jewelry is unlikely to lead to a major lawsuit. Carly prefers her clients to pay her via an online payment system, but many of her clients don`t feel comfortable providing their online banking details. Therefore, Carly accepts company cheques. However, since Carly does not have a separate bank account for her business, she must find ways to cash business cheques made payable to her business so that she can deposit the money into her personal account. [By the way, you may want to earn some extra money so you have more cheques to cash! If so, check out my article on ideas for earning an extra $1,000 per month]. No registration fee is required when cashing the cheque. You can receive your money instantly or load it onto your Walmart Money Card.
Some banks only deposit cheques made payable to a company into a company`s bank account. Check with your specific banking institution to see if they will cash a check written to your business. This is a security measure for business accounts to prevent embezzlement or theft. Only banks or issuing institutions can verify the authenticity of a cheque. Even if you manage to cash a fake cashier`s check at Walmart, the bank will return it as unpaid. Well, how much exactly does it cost you for the cash verification service? Cashing a business cheque may not be much different from cashing a personal cheque issued to you. But depending on the circumstances, it can get complicated and you may not be able to redeem it at all. Between January and April 2022, Walmart increased the check refund limit to $7500 to allow tax check checks. Walmart deducts the cheque cashing fee from the amount of the cheque.