When ‘VOID’ on a check doesn’t mean a thing: Money Matters (2024)

Q: My husband had power of attorney for his mother and was executor of her estate. Her monthly Social Security check for $330 was direct deposited to her checking account. She died Feb. 25, 2018, but it was too late to stop the March deposit, even though she was not entitled to it. We received notice to return $330. He wrote a personal check in March. The Social Security Administration returned the check, saying she owed nothing.

In the summer, we received another notice that $330 was owed. My husband sent another check and, unfortunately, he also sent the original check with VOID written across the entire face. This was in an attempt to avoid a penalty and/or interest by showing he’d tried to pay once. What a mistake. Both checks were cashed and processed by the bank, PNC.

PNC said it was not their problem, even though they allowed a voided check to be cashed. I sent two letters and an email to the Social Security Administration. We’d hear from them, they’d tell us to call. When we called, they said to send a written query. AHHHH! We were supposed to hear back. Never happened.

My husband went the SSA office in Middleburg Heights. The lady was very nice, said she could see the error, and that the $330 had been placed in a general fund because they didn’t know where it belonged. Again I ask, REALLY? She put in a claim. This was during the government shutdown, and she said it might take a while to see the refund. Do you have any suggestions?

M.C., Olmsted Falls

A: First, I have to say this: I’ve decided what hell must be like. One day you deal with the Social Security office, one day you try to resolve an erroneous medical bill, one day you deal with the finance guy at the car dealership, one day you file for unemployment, one day you shop for a used car (no rust, the ad says) . . . And then it’s lather, rinse, repeat.

In response to your initial complaint to PNC, the bank wrote to you that “this is not a bank error and you will need to dispute directly with the payee.” The SSA didn’t comment on the snafu and never gave you an explanation either.

I contacted PNC, which promptly contacted you and verified your story. You were told by PNC that the voided check was allowed to clear because all checks are now automated and simply run through machines.

The PNC representative called you the next day and said the bank was refunding the $330 to your checking account on a provisional basis and could be deducted again if the Social Security Administration didn’t return the overpayment.

I’m not surprised that a snafu like this could occur within the SSA. I am a little surprised that a check that clearly was voided would be allowed to be deposited, processed and clear your account. You showed me a copy of the voided check. The word “VOID” was more than an inch tall across the face of the check, covering the recipient, the amount and the date. But not the signature.

I asked PNC how a check that was clearly voided could be processed. “Although writing void across the front of a check decreases the likelihood that someone will successfully negotiate the check, it is not a guarantee,” spokeswoman Shannon Mortland said. “Steps that may help prevent negotiation of a voided check include writing the word ‘void’ in multiple places, including the payee line, the dollar amount box, the legal amount (dollar amount written out) and the signature line.

“However,” Mortland added, “the only way to guarantee that a check will not be negotiated is to request a stop payment on that check. This generally requires the customer to request the stop payment in a short time, prior to the check being presented for payment. Typically, there is a fee for this service.”

This was a little unsettling to me, especially since we all may be asked sometimes to provide a voided check for direct deposit through an employer, or direct debit for something like life insurance or auto insurance. I asked a few other local banks whether a voided check could clear at their institution and what advice they could give to reduce the chance of a voided check clearing. Here’s a sample of their responses:

Third Federal: “While it is possible that a voided check can be cleared, all checks are typically reviewed. In the event a voided check has transacted, customers can file a claim once they receive their statement,” said spokeswoman Jennifer Rosa.

“If customers need to send, or present a voided check, they should leave the check blank. It is needed for routing number and account number purposes and should not be filled in, or signed, and ‘VOID’ should clearly be written across the check,” Rosa said.

Fifth Third: “We advise to only write ‘VOID’ as large as possible and not fill out any other information on the check, such as ‘pay to’ or ‘amount’ when setting up a direct deposit,” Passerallo said. She added: “We always recommend that customers routinely monitor their account activity and notify their financial institution as soon as possible if they notice unauthorized or unfamiliar activity.”

KeyBank: “While we do not comment on issues involving other banks or financial institutions, as part of our financial wellness approach, KeyBank offers these tips to our clients on voiding checks," said spokesman Matthew Pitts.

First, “write “VOID” in several areas of the check, including across the payee line, in the payment amount box and in the signature box in the bottom right hand corner. Use a black or blue marker so that your writing can not be erased.”

Also, Pitts said: "Take a photo or make a record of all voided checks in your check register or check book so that you can accurately keep track of the checks being written from your account. Include a few words on the reason why the check was voided. For example, “wrote the wrong amount.”

In addition, if it’s a check you’re not sending the check, Key recommends shredding voided checks and other sensitive financial documents to protect personal information.