Which statement would properly identify a voided check?

Which statement would properly identify a voided check?

• A. A check written to a vendor that is going to be mailed.
• B. A check that is pending approval by the bank.
• C. A check that can't be processed because the business has made the check invalid.
• D. A check that has been lost in the mail.

Answer: (C)

A voided check is a check that has been canceled so it cannot be paid or negotiated. This is usually done by marking the check with VOID (or by recording it in a system as canceled) to prevent any further processing while still allowing someone to use the bank details for setup purposes like direct deposits or ACH payments. Because a voided check is intentionally made invalid, the statement that describes a check that can’t be processed because the business has made the check invalid best captures what a voided check is. It’s not simply a check mailed to a vendor, not a check awaiting bank approval, and not a check lost in the mail—the common element is deliberate cancellation so the check cannot be used.

A voided check is a check that has been canceled so it cannot be paid or negotiated. This is usually done by marking the check with VOID (or by recording it in a system as canceled) to prevent any further processing while still allowing someone to use the bank details for setup purposes like direct deposits or ACH payments. Because a voided check is intentionally made invalid, the statement that describes a check that can’t be processed because the business has made the check invalid best captures what a voided check is. It’s not simply a check mailed to a vendor, not a check awaiting bank approval, and not a check lost in the mail—the common element is deliberate cancellation so the check cannot be used.