It's been a long time since I wrote a paper check... so long, that I almost take it for granted how easy it is to pay bills using a debit card, or sending money by wiring funds. While cleaning some files this morning, I came across some canceled paper checks, and thought "Wow! When was the last time I filled out one of these things?"
During this Thanksgiving month, "No More Checks" is something to be grateful for!
In addition to the time saved not writing checks, debit card payments clear quickly, and they don't get lost in the mail. Sometimes a debit card payment hits your bank account immediately; they rarely take more than a day or two to clear. You are able to balance your account right away.
Electronic payments have become the standard for buying and selling real estate.
We see very few paper checks. Many title companies will no longer accept paper checks (including cashier's checks and money orders). They want wired funds for the upfront escrow/good faith deposit, and for the balance due at closing. When the Buyer wires the deposit to the title company, that title closer sends acknowlegement of receipt to all parties, and to the Brokers. Everyone knows that the deposit has been made; everyone knows who is holding that money!
Do you ever see paper checks? About the only time I see a paper check, is when I am in the grocery store, and some customer in front of me pulls out an old fashioned check book. You rarely see it anymore, and of course when it happens, everyone in line groans. You grab up your purchases and move to another checkout line.
Perhaps the only downside of "no more paper checks" is that when you forget to make a payment, you can no longer say, "The check is in the mail".
Good riddance to old fashioned paper checks!