The basic steps to deposit a cheque
To deposit a cheque, you sign the back of it, take it to your bank branch or ATM, and hand it to a teller or insert it into the machine. The bank scans the cheque, credits your account, and sends it through the clearing system to the issuing bank. Most cheques clear within one to three business days, though some take longer depending on the bank and the cheque amount.
You do not need to do anything else. The bank handles the rest. Your account will show the deposit as pending immediately, then as cleared once the issuing bank confirms the funds.
Key Takeaways
- Sign the back of the cheque in the endorsement area before you deposit it, or the bank will reject it.
- You can deposit at a branch teller, ATM, or through mobile deposit (if your bank offers it), and each method has different processing times.
- Cheques typically clear in one to three business days, but large cheques or cheques from other countries may take longer.
- If a cheque bounces or is fraudulent, the bank will reverse the deposit and may charge you a fee.
Signing the back of the cheque
The back of the cheque has a blank area near the top edge. This is the endorsement area. Write your signature across this space. Your signature is your instruction to the bank that you are depositing this cheque into your account.
Some banks ask you to write "For deposit only" above your signature, followed by your account number. This limits what someone else can do with the cheque if it is lost. It is not required, but it adds a layer of protection.
Do not sign the front of the cheque. Do not write anything else on the back except your signature and, optionally, "For deposit only" and your account number.
Where and how to deposit the cheque
You have three main options: a branch teller, an ATM, or mobile deposit through your bank's app or website.
Branch teller: Walk into your bank during business hours, hand the signed cheque to the teller, and tell them you want to deposit it. They will scan it, confirm the amount, and ask which account to deposit it into. The cheque clears in one to three business days. You get a receipt immediately.
ATM: Some ATMs accept cheque deposits. Insert the cheque into the slot marked for deposits, follow the on-screen prompts, and confirm the amount. The machine scans the cheque and credits your account. Processing time is the same as a branch deposit — one to three business days. Not all ATMs accept cheques, and not all banks offer this service, so check your bank's website first.
Mobile deposit: If your bank offers it, you can photograph the front and back of the cheque using your phone, upload the images through the bank's app, and submit it. The bank processes the image and credits your account. Mobile deposits often take longer to clear — sometimes three to five business days — because the bank is working from a photo rather than the physical cheque. You must keep the original cheque for a set period (usually 30 days) in case the bank needs to verify it.
What happens after you deposit
Once you deposit the cheque, your bank immediately shows it as pending in your account. You can see the deposit right away, but you cannot withdraw the money yet. The bank is waiting for the issuing bank to confirm the funds exist and transfer them.
During this time, the cheque moves through the clearing system. Your bank sends it to a clearing house, which routes it to the issuing bank. The issuing bank checks whether the account has enough money and whether the cheque is valid. If everything is correct, the funds move to your bank, and the deposit changes from pending to cleared.
Once cleared, the money is yours to use. You can withdraw it, transfer it, or spend it. The timeline varies: same-day clearing is rare and usually only happens within the same bank. Most cheques clear in one to three business days. Cheques from smaller banks or rural areas may take longer. Cheques from outside your country can take two to four weeks.
When a cheque does not clear
If the issuing bank cannot clear the cheque, your bank will reverse the deposit and send the cheque back. Common reasons include insufficient funds in the issuer's account, a closed account, a forged signature, or a stop payment order.
When this happens, your bank removes the money from your account and may charge you a fee — typically $15 to $30 — for the returned cheque. If you spent the money before the cheque bounced, you will now be overdrawn. You are responsible for recovering the money from the person who gave you the cheque.
Some banks offer overdraft protection, which covers the shortfall temporarily. Others will decline transactions that would overdraw your account. Check your account settings to see what your bank does.
Depositing cheques from other countries
Cheques issued outside your country take much longer to clear — usually two to four weeks — because they must move through international banking channels. Your bank may also charge a fee for processing a foreign cheque, typically $10 to $25.
Before you deposit a foreign cheque, contact your bank and ask whether they accept them. Some banks do not. If they do, ask about the fee and the expected clearing time. You will need to endorse the cheque the same way you would a domestic one.
Frequently Asked Questions
Can I deposit a cheque that is made out to someone else?
No. A cheque is a payment instruction to a specific person or account. If your name is not on the cheque, you cannot deposit it into your account. The person whose name is on the cheque must deposit it themselves, or they can sign it over to you (a process called third-party endorsement), though many banks no longer accept third-party cheques due to fraud risk.
What if I forget to sign the back of the cheque?
The bank will reject it. If you deposit it at a teller, they will ask you to sign it on the spot. If you use an ATM or mobile deposit, the machine will either reject it or flag it for manual review, which delays processing. Always sign before you deposit.
Can I deposit a post-dated cheque?
Technically yes, but you should not. A post-dated cheque is dated for a future date, which means the issuer intends for you to hold it until that date. If you deposit it early and the issuer does not have funds yet, the cheque will bounce and you will be charged a fee. Wait until the date on the cheque to deposit it.
How long can I wait before depositing a cheque?
There is no legal deadline, but cheques can expire. Most cheques are valid for six months from the date written on them. After six months, the bank may refuse to clear it. Deposit cheques as soon as you receive them to avoid this problem.
What if the cheque amount is written differently on the numbers and words?
The bank will usually honour the amount written in words, as that is considered the legal amount. However, the discrepancy may cause the cheque to be flagged for review, which delays clearing. Ask the person who issued the cheque to issue a new one with matching amounts.