Check Vouchers for Zoho Books
Writing checks directly from Zoho Books can be quite advantageous, especially when managing business finances. When you write checks directly in Zoho Books, your accounting records are automatically updated. This reduces the need for manual data entry, ensuring your finances are always up-to-date. You save time by avoiding the need to switch between multiple tools or systems. You can manage invoices and payments in one place. When you write checks directly through Zoho Books, your checks can include professional-looking templates with your company details, improving the appearance of your business transactions.
Before you can write checks in Zoho Books, you will have to have at least a Professional subscription level. You will also have to setup a check template, you can find the instructions here. Once you create the check template, you have to have checks to print them on. Unfortunately, you can’t just stick a regular check from your checkbook in the printer as they are prone to jamming and not lining up properly. You can’t just print your own checks, they must meet certain guidelines.
One of the hurdles is MICR, which stands for Magnetic Ink Character Recognition. A couple of the main benefits of MICR is that it allows banks to process checks at high volumes and is difficult to tamper with. For more information on MICR, refer to the article here. The Federal Reserve require the use of MICR according to their guidelines set here.
There are legal hurdles to printing your own checks because there is a set of laws that provide legal rules and regulations governing commercial or business dealings and transactions in the United States, it is called the Uniform Commercial Code or UCC for short. The UCC has been adopted in some form by all 50 states. Article 3 of the UCC pertains to negotiable instruments, which include checks. It outlines the requirements for a check to be considered valid, such as the presence of a signature, a payment amount, and the designation of a payee. You can read more about it here.
Finally, there is the paper, checks aren’t printed on regular paper. For successful check printing, you’ll need to use specialized check paper that is compatible with your printer and adheres to banking standards. Most banks require checks to be printed on pre-perforated, blank check paper that includes secure features like watermarks or microprinting to prevent fraud. The American National Standards Institute (ANSI) sets standards for check printing, including specifications for paper types and security features. Banks often require that checks meet the ANSI X9.100-140 standard, which outlines the required features for securely printed checks.
The paper used for checks is highly specialized to ensure security and to comply with both local and international regulations. These features help protect against fraud, assist in the proper processing of checks, and ensure that checks meet the standards set by financial institutions and regulatory bodies.