Summary
Receiving money by cheque in Canada might sound outdated, but millions still rely on this trusted method. In this detailed guide, you’ll learn exactly how to endorse, deposit, and manage your cheques — whether from an employer, government agency, or personal transaction. We explain the difference between personal and certified cheques, how mobile cheque deposit works, what fees or holds to expect, and how to avoid fraud. We even share a real-world experience and provide comparisons between cheque deposit methods. Whether you’re new to banking in Canada or just want to avoid common pitfalls, this post is your one-stop resource.
How to Receive Money by Cheque in Canada
Receiving money by cheque remains a common and reliable method in Canada, especially for individuals who prefer traditional banking over digital platforms. Whether it’s from an employer, a friend, or a government institution, understanding how to properly and securely receive a cheque can save time, avoid delays, and ensure access to your funds.
Table of Contents
Introduction
Why Cheques Still Matter in Canada
Types of Cheques You May Receive
How to Properly Endorse a Cheque
Where to Deposit a Cheque in Canada
Processing Times for Cheques
Potential Fees or Holds on Cheques
Security Tips to Avoid Cheque Fraud
My Personal Experience Receiving Cheques
Digital Cheque Deposit Explained
Summary Table of Cheque Options
Key Takeaways
FAQ Section
Conclusion
About Meta Exchange
1. Introduction
Although Canada is moving toward digital banking, paper cheques are still widely used for business payments, payroll, government benefits, and even personal transfers. If you’re new to the system or simply want to ensure you’re handling cheques efficiently, this guide covers everything you need to know.
2. Why Cheques Still Matter in Canada
According to a 2023 Payments Canada report, over 334 million cheques were processed, representing $3.4 trillion in value. This shows that despite e-Transfers and wire services, cheques remain a pillar of financial transactions in Canada.
Common Scenarios:
Government-issued benefits
Payroll for contract workers
Insurance reimbursements
Large transactions between individuals
3. Types of Cheques You May Receive
| Type | Description |
|---|---|
| Personal Cheque | Written by individuals from their personal account |
| Business Cheque | Issued by corporations, often for payments |
| Government Cheque | Benefits, tax returns, or EI payments |
| Certified Cheque | Guaranteed by a financial institution |
| Bank Draft | More secure for large transactions |
4. How to Properly Endorse a Cheque
Endorsing a cheque is essential before depositing it. Flip the cheque and sign the back, ensuring it matches the name on the front. If it’s a joint cheque, both parties must sign.
Pro tip: Add “For deposit only to account of [Your Name]” under your signature for extra security.
5. Where to Deposit a Cheque in Canada
You can deposit a cheque in multiple ways:
In-person at a branch
Through an ATM
Via mobile app (digital deposit)
Most major banks like RBC, TD, Scotiabank, CIBC, and BMO support digital deposits through their mobile apps.
6. Processing Times for Cheques
| Deposit Method | Typical Processing Time |
|---|---|
| Branch or ATM | 1–5 business days |
| Mobile App Deposit | 1–3 business days |
Note: Larger amounts or cheques from foreign banks may take longer due to verification protocols.
7. Potential Fees or Holds on Cheques
Banks may place a hold on cheques, especially if:
It’s a new account (under 90 days old)
The cheque is over $1,500
It’s drawn from a foreign bank
Fees are typically not charged for depositing cheques, but NSF (Non-Sufficient Funds) fees may apply if the cheque bounces.
8. Security Tips to Avoid Cheque Fraud
Never accept post-dated or altered cheques
Confirm the identity of the sender
Deposit cheques promptly
Use bank apps for instant confirmation and record keeping
According to the Canadian Anti-Fraud Centre, cheque-related fraud is still a concern, with thousands of Canadians falling victim annually.
9. My Personal Experience Receiving Cheques
As a freelancer, I occasionally receive payments by cheque, especially from older clients who are less comfortable with e-Transfers. I’ve found that using my mobile app to deposit cheques has saved me countless hours. One time, I accidentally delayed depositing a $2,000 cheque for over a month — thankfully, it didn’t expire (cheques in Canada are usually valid for six months), but that experience taught me to act quickly.
10. Digital Cheque Deposit Explained
With mobile cheque deposit, simply:
Log in to your banking app
Select “Deposit” or “Mobile Cheque Deposit”
Take photos of both sides of the cheque
Enter the amount
Submit
You’ll receive a confirmation, and the cheque should be visible in your pending balance.
11. Summary Table of Cheque Options
| Option | Best For | Notes |
|---|---|---|
| In-person Branch Deposit | Large cheques, new users | Secure, but slower |
| ATM Deposit | Everyday use | May have longer hold periods |
| Mobile App Deposit | Quick and easy deposits | Convenient, immediate receipt |
12. Key Takeaways
Cheques are still widely used in Canada
You can deposit them via ATM, branch, or smartphone
Processing takes 1–5 days depending on the method
Use endorsements and prompt deposits to stay safe
Mobile cheque deposit is fast, secure, and reliable
13. FAQ
Q1: How long does a cheque take to clear in Canada?
A: It typically takes 1–5 business days, depending on your bank and deposit method.
Q2: Can I deposit someone else’s cheque into my account?
A: Only if the cheque is endorsed properly and the bank allows third-party deposits.
Q3: What happens if I lose a cheque?
A: Contact the issuer immediately. They may cancel and reissue it. Avoid trying to deposit a photocopy.
14. Conclusion
Receiving money by cheque in Canada is still a viable and secure method — especially with the convenience of digital banking tools. Whether you’re handling government refunds, freelance payments, or business reimbursements, knowing how to deposit and secure your cheque properly ensures you never miss a beat financially.
15. About Meta Exchange
If you’re receiving cheques from abroad or need to convert foreign currencies before depositing your funds, trust Meta Exchange — Toronto’s most trusted currency exchange provider. Offering competitive rates, transparent fees, and exceptional service, Meta helps you maximize the value of your funds.
Meta Currency Exchange – Your Trusted Partner in Toronto
Don’t let bank fees eat into your cheque value. Whether it’s a foreign draft, a USD cheque, or you simply want the best currency exchange rates in Toronto, visit Meta Exchange.
✅ Fast Service
✅ Best CAD Conversion Rates
✅ Convenient Downtown Location
Visit Meta Exchange today and turn every cheque into smart savings.
- Meta Exchange
- No Comments