877-654-2327 All New Surety Bonds

877-930-8127 - Renewals Department
Surety1 was Founded in 2003.  Low-Cost Bond Provider.  Over 150,000 Happy Customers and Counting!   Find Your Bond >

How to Handle a Lost Cashier’s Check

Lost a cashier’s check? Don’t panic. The solution may not be as straightforward as issuing a stop-payment but there are simple actions you can take to ensure the money gets where it needs to go without facing a major loss. 

cashier's checks

First, contact the issuing bank to inform them of the situation.

You will be asked to make a Declaration of Loss, a statement made in record under penalty of perjury, stating that you, the declarer, lost possession of the check, to the “obligated bank” (the bank that issued the cashier’s check). [1]

You then typically wait up to 90 days after which the bank will release the funds to whoever has a claim on them (the payee or the account owner). [2]

Often, the bank requires an Indemnity Agreement in order to issue the replacement check. This agreement guarantees that you are liable for any losses in the event that someone finds and cashes the check. [3] This agreement is often vital to receiving the replacement check as banks don’t want to risk having two checks in circulation. 

Since you are now responsible for any losses that the bank would have faced, if someone finds the check, you are left to pay the full amount of the cashier’s check again.

To alleviate the risk having to pay twice, buy a surety bond. This bond covers the amount of the lost check. You pay 2% of the bond amount (with a minimum of $100) and the bond company covers the bank’s losses in the event that the original check is cashed.

To obtain a surety, the cashier’s check must be lost for at least 30 days and should not have been endorsed. Learn more about lost cashier’s check bonds here. If you have any questions, our staff at Surety1 will be happy to help.

[1. Cornell University Law School, Legal Information Institute. Lost, Destroyed or Stolen Cashier’s Check, Teller’s Check, or Certified Check. Retrieved from https://www.law.cornell.edu/ucc/3/3-312]
[2. U.S. Department of the Treasury. Retrieved from http://www.helpwithmybank.gov/get-answers/bank-accounts/checks-cashiers-checks/faq-bank-accounts-cashiers-checks-01.html]
[3. About. Cashier’s Checks. Retrieved from http://banking.about.com/od/Cashiers-Checks/fl/Lost-or-Stolen-Cashierrsquos-Check-No-Longer-Need-It.html]

Apply to Get Your Surety Bond Now

Get started with the bond application process today.

Most bonds are fully processed within 1-2 business days. In some cases, you'll hear back from Surety1 within hours!

6 thoughts on “How to Handle a Lost Cashier’s Check”

  1. Hello. I have a stolen cashiers check and I am not sure if it has been cashed or not. I want to recover my loss. I want to purchase a surety bond. If the cashiers check has been illegally endorsed, I’m afraid I will have lost my funds. Please help!

    1. John says:

      If the check has been cashed then there is nothing we can do. If it has not been cased, the bank can put a stop payment on the check and then you may purchase surety bond and the bank will issue a replacement check.

  2. David R. Holley says:

    Why do you have to wait for 30 Days before a Bond can be issued. Check was lost the same day it was issued. If the bank can stop payment, then you have to wait 30 Days before getting a bond , then the bank may make you wait an additional 30-90 Days before issuing replacement. That is up to four months before you get your money. Whereas, if it is a personal check, you can stop payment almost immediately before it’s cashed and suffer no major delays. What kind of protection is that?

    1. John says:

      We now have some markets that will issue the bond without the 30 day waiting period.

  3. In the case that someone steals or “find” a lost cashier’s check and steals the money associated with it, I’d be interested in knowing what legal action can be taken against the person who deposited or cashed the check.

    Is there a process for recovery that can be taken after a cashier’s check has been fraudulently used?

    1. John says:

      I would think that is fraud, but all we do are write bonds so can’t say for sure. Thanks for the comment

Leave a Reply

Your email address will not be published. Required fields are marked *