Paper checks are often considered outdated but offer a few unique advantages that other checking account features may not.

Why are paper checks still in use?

While paper checks certainly have their fair share of drawbacks, like security concerns and longer processing times, they can be helpful in some situations.

People of all ages still use checks to:

• Send fundraiser payments with children to school
• Gift money for special occasions
• Pay bills by mail
• Pay rent to private landlords
• Pay certain businesses that charge fees for paying by card

6 Advantages of paper checks

While modern payment methods are usually faster and more convenient, paper checks do have certain advantages. Let’s take a closer look at some ways paying by check can be beneficial.

1. No transaction fees

Some businesses charge a percentage of your total as a convenience fee when you pay with a credit card. Some peer-to-peer payment services also charge fees based on the amount of money you’re transferring. In these situations, paying with a paper check could help you save a few dollars.

2. Proof of payment

You could consider paying by check if you want to have physical proof of purchase for bookkeeping, potential disputes or legal purposes. Some digital payment methods don’t come with paper receipts, but filling out a check creates a sort of “paper trail” you can keep for your personal records.

 3. The potential to stop payment

Digital transactions are often instantly processed, but checks can take multiple business days to clear. In some circumstances, this can be inconvenient. In others, though, it gives you a chance to request a stop payment from the bank to cancel a payment, if needed.

4. Some businesses prefer checks

Some landlords, small businesses and service providers prefer receiving payment in the form of checks rather than digital payments. This could be for record-keeping purposes or to minimize transaction fees.

5. Ability to pay without internet access

Paper checks usually take longer to process than digital payments, but in corners of the world where internet access is unreliable or unavailable, logging into digital payment apps can feel like more work than it’s worth. This means that paper checks may be helpful in areas where getting to a bank or ATM to withdraw cash can also be time-consuming.

If you live in one of these areas, you could find checks more convenient when you need to pay family, friends or even the baby sitter.

6. Gift-giving

When you want to gift someone money for a wedding or graduation present, sending a digital transfer might feel impersonal. A physical check can feel formal and intentional.

Of course, cash is always an option – but it isn’t the best one if you plan to send your gift by mail.

Choosing the best payment method for the moment

Most modern checking accounts offer a variety of ways to pay. From digital wallets and tap-to-pay cards to traditional paper checks, the best payment method is the one that feels most convenient for you and will be accepted by the recipient.

Disclaimer: Article content is intended for information only. It may not reflect the publisher nor employees’ views. Consult a financial professional before making financial decisions. Publishers or platforms may be compensated for access to third party websites.

Contact Information:
Name: Sonakshi Murze
Email: sonakshi.murze@iquanti.com
Job Title: Manager