The Ultimate Guide to Mobile Check Deposit: How It Works and Why You Should Use It

As mobile banking has taken off, many people never visit a bank, and online banks with no physical branches have opened their virtual doors. One of the most convenient developments in mobile banking is mobile check deposit, which allows you to deposit a check without visiting a physical bank location. Learn more about how the process works, why you might consider using it and some pros and cons the service offers.

What is a Mobile Check Deposit?

Mobile check deposits are a time-saving and personal accounting dream come true. Instead of going to an ATM or bank to deposit a physical check, you can take a photo of it using your banking app on your smartphone and upload the image for your bank’s verification.

This makes check deposits nearly real-time to where you can receive a check from a friend, snap a photo and see the pending balance immediately. While there still might be a few days’ lag time between when you deposit the check and when your account’s balance officially changes, the process is swift and simple.

How Mobile Check Deposit Works

When you deposit a check using a mobile app, the bank is using a service in the background called remote deposit capture. This process is like scanning a document. It captures a digital image of both sides of the check that the bank uses to verify the information and process the deposit. 

Types of Checks That Can be Deposited Through Mobile Check Deposit

You can deposit a wide range of check types into your account when you deposit a check online. Each financial institution will have varying rules and regulations, but often, the following types of checks are prohibited from this service.

• Checks that are more than 6 months old, have been postdated or have no date on them
• Checks made out to someone who is not the account holder or named on a joint account
• Checks payable to cash
• Foreign checks
• Money orders
• Traveler’s checks

If you’re unsure how to deposit a check into your account, you might need to call or visit your bank for more information. You might need to visit a physical location to complete a deposit for these items.

How to Make a Mobile Check Deposit

When you mobile deposit a check, you should follow these simple steps and any additional information from your banking institution:

1. Sign your check. Some banks also require that you write “for mobile deposit only” below the signature line. Failing to do so might result in the check being rejected.
2. Open your bank’s mobile app. 
3. Navigate to the deposit check screen from the app’s menu.
4. Select the account you want to deposit the check into.
5. Follow the prompts to capture the front and back of the check.
6. Confirm the deposit amount shown, which your app might have you input manually or it might pull directly from reading the check’s image.
7. Review the photos and information and click submit.

Most banks provide notifications when they receive a check and when it is approved. Check your notification settings on your app to confirm whether these features are active. You should see an update on your balance within a few business days.

Pros and Cons of Mobile Check Deposits

For the most part, depositing checks via your bank's mobile app is a convenient feature worth using. But be aware of these pros and cons before using the service.

Pros

• Deposit checks from anywhere
• Never forget to take a check to the bank and lose its value
• Enjoy the same security on the mobile app as you get with check deposit at your banking branch
• Process is user-friendly, walking you through the steps you must take

Cons

• You should keep the physical check on hand until the deposit goes through and you see the deposit in your account
• The process requires good Wi-Fi or cell service
• You’ll still need to endorse the check and follow the provided guidelines to avoid issues

Tips for a Successful Mobile Check Deposit

While the mobile process for depositing checks is impressive, it’s still an automated online service that can experience hiccups. To avoid issues and ensure timely funds in your account, follow these tips:

1. Review the check for errors before accepting it from the writer. This means ensuring it is signed and has today’s date on it.
2. Endorse the check on a hard surface where your signature will look like it has in previous deposits to avoid any digital confusion.
3. Hold your phone steady while capturing images of the check for the best clarity, and make sure the check’s edges are within the guides on the screen.
4. Confirm the check’s status before disposing of the check to ensure it was accepted and that the money shows up in your account balance.
5. Retain the deposited check for 60 days to avoid any long-term issues and possibly missing out on that cash.
6. Deposit checks you were expecting or from known sources. Some scams involve sending checks to people at random to get their banking information or stealing their identity to apply for a loan.
7. Be aware that deposits are subject to holds. Don’t spend the money before it clears your account because you might incur overdraft fees.
8. Communicate with your household about what checks you’ve deposited to avoid confusion and depositing a check twice, causing one deposit to be rejected.

Fast, Easy Deposits from Anywhere

Mobile check deposit has revolutionized personal finance and banking. It’s made it so that you don’t have to wait until you can make it to a bank location to get access to the cash that someone owes you. Simply follow the rules and steps your financial institution outlines for mobile deposits and enjoy the convenience of fast deposits from anywhere.

Frequently Asked Questions