Cashier’s checks are typically valid for 60–90 days, but that’s not the whole story. Learn about cashier’s check validity, why they expire, and what to do if you end up with an expired check.
We’ll discuss best practices for using a cashier’s check in a private car transaction, and why you might be better off not using one at all. Then, we’ll show you an instant payment method that isn’t tied to expiration dates or bank visits.
Cashier’s checks usually remain valid 60–90 days after issuance, but the validity period varies by bank. Some financial institutions may honor cashier’s checks for up to 180 days.
Here’s what impacts how long your cashier’s check will be good for:
Most banks won’t refuse a cashier’s check just because it’s a few days past the suggested expiration date. However, they’re under no obligation to honor old checks. While Bank of America, Chase, and other major banks typically follow the 90-day guideline, policies differ at smaller banks and credit unions.
Since cashier’s checks are drawn from the bank funds rather than the payer’s checking account, the bank wants to control the transaction terms.
Here’s why banks care about expiration dates:
Since the bank sets aside money for the transaction, they don’t want to keep their funds in limbo forever. The expiration period lets them close the books on unclaimed funds.
An expired cashier’s check is frustrating no matter what side of the transaction you’re on. Let’s look at how to handle this situation whether you’re buying or selling a car.
Your expired check isn’t worthless, but you’ll need to take action:
Any delay could derail your purchase. Most sellers would rather move on to the next buyer than wait for you to sort out payment issues.
If you sold your car and wound up with an expired cashier’s check, things are more challenging:
If you can’t reach the buyer:
The money behind a cashier’s check is usually still there if the check is only a day or two expired—it’s just locked behind bank policies and procedures. Beyond that, the bank might have canceled the check and returned the buyer’s funds. In that situation, you must resolve the issue with the buyer.
Cashier’s checks are a traditional payment choice for private-party car transactions. They solve some basic problems that come up when strangers exchange large amounts of money:
For decades, cashier’s checks have gotten the job done, but they’re starting to show their age compared to digital payment options.
Financial institutions only issue and verify cashier’s checks during regular business hours. Want to transact on the weekend? You’ll have to wait until Monday to finish the deal.
Check scams are sophisticated. Even bank employees struggle to spot fake cashier’s checks immediately. The only way for the seller to confidently accept a cashier’s check is to have the issuing bank verify it, preferably in person.
Smart sellers verify cashier’s checks before handing over the car. Again, both parties are tied to bank visits and business hours.
The internet lets buyers and sellers connect from all over the country. If a buyer wants to remotely purchase a long-distance car and pay by check, they have to mail it. This adds more time, coordination, and risk to the transaction.
If a buyer plans to finish the purchase in person, they probably need to purchase the check in advance since most banks only sell cashier’s checks to account holders. Once the check is written, the buyer won’t be able to negotiate the price.
A catch-22 crops up in all private-party transactions: the seller doesn’t want to release the car until they have the funds, and the buyer doesn’t want to hand over the check until they have the car. On its own, a cashier’s check can’t solve this problem. That’s why some parties turn to expensive, time-consuming escrow services for big-ticket transactions.
If you want to use a cashier’s check for your car transaction, here’s how both parties should work together for a safe, smooth process:
The process takes time and coordination, but this is the safest way to transact by cashier’s check … so maybe you shouldn’t.
Forget about expiration dates, bank hours, and check verification. DealNow eliminates these headaches with instant, secure transfers that never go stale.
Here’s why DealNow beats cashier’s checks for car transactions:
DealNow’s technology and features work together to get car transactions done quick. Here’s how simple it is:
After you’ve used DealNow, you’ll never want to deal with cashier’s checks again.
When a cashier’s check expires, the funds remain at the financial institution. Contact the issuing bank about their reissue process. You may need to pay a check fee and visit a branch to get a replacement check.
Most banks require in-person verification of cashier’s checks for large amounts. While you can call a bank representative, they often won’t verify funds over the phone due to fraud concerns. Some scammers provide fake phone numbers that connect to accomplices posing as bank employees. Verify checks in person at a branch whenever possible.
Credit unions follow similar policies to banks for cashier’s checks, but some offer more flexibility with expiration dates and verification. Many credit union products include free cashier’s checks for members. Some credit unions also have more generous policies about reissuing expired checks. Cashier’s check limits are more common at credit unions, so contact them in advance to clarify their limit.
Unlike money order companies that cap transactions at $1,000, most banks don’t set an upper limit on cashier’s checks. However, large sums of money may trigger additional security measures or require approval from a bank customer service representative. Some banks also charge higher fees for larger amounts.
A cashier’s check draws from the bank’s account and carries the bank’s guarantee. A certified check is a personal check where the bank certifies you have sufficient funds and places a hold on that amount. Both are secure forms of payment, but cashier’s checks provide an extra layer of security since they’re drawn on bank funds rather than your personal funds.
When getting a cashier’s check, the buyer can pay through a personal checking account, debit cards, or physical cash. Most buyers have the funds transferred from their account to the bank’s account. Non-account holders can sometimes get a cashier’s check by paying cash or using a debit card at the bank branch, though they may face higher check fees.
A fraudulent cashier’s check never actually “clears.” Banks make the funds available to you before they verify if the check is real. This creates a dangerous window where you think you’ve been paid because you can access the money
The counterfeit check will eventually be discovered. When it is, the bank will take back the funds—even if you’ve already spent them or handed over your car. This gap between fund availability and verification is exactly what scammers count on.
Banks will verify their own cashier’s checks during banking hours. Most banks won’t verify other institutions’ checks. The safest way to verify these types of checks is to meet at the issuing bank during business hours.
Each cashier’s check has a unique tracking number that allows banks to trace the entire transaction. This process isn’t instant; it can take several business days and usually requires filing formal paperwork with the financial institution. If a check is lost or stolen, the tracking process becomes more time-consuming and may involve additional fees for cancellation and re-issuance.
DealNow is the easiest way to close your own vehicle deal, anytime. It’s the safe and simple way to avoid fraud, sign documents, and instantly transact, all in one app.
