If you’ve lost a cashier’s check or it was stolen, it’s probable that you have already visited a banking institution, told them of your situation, and asked them what needs to be done to have the cashier’s check replaced.
Paragraph 3-312 of the Uniform Commercial Code states that persons reporting a lost cashier’s check may have to wait up to 90 days before a replacement cashier’s check can be issued.
Your banking institution presumably told you that if you want to replace the check, you will also need to purchase a surety bond. This is why you’re here.
Fortunately in your case, the price you will pay to replace your cashier’s check is surprisingly small compared to the original check’s overall amount.
Cashier’s check are interesting: They act like cash in that they may clear immediately; and they act like checks in that they are intended for one person or entity.
The problem is that when they are lost or stolen, they cannot always be canceled like personal or business checks; they act like cash.
Since the bank is unaware whether or not the original cashier’s check will eventually be both located and summarily cashed, they are concerned about paying on the same check twice.
By requiring you to obtain a lost cashier’s check bond, several things occur:
We note --- and this is crucial --- that should the lost cashier’s check ever be cashed, and the bank then files a claim against your surety bond on file, you, as purchaser of the surety bond (known in the surety lingo as “the principal”) will be legally obligated to reimburse the surety company for all costs involved in paying the claim.
So, purchasing the lost cashier’s check bond doesn’t leave you “off the hook” if the lost cashier’s check is ever located and cashed.
Once issued, the lost cashier’s check bond has a onetime payment, known as the premium.
The bond is active for 5 years from the date of issuance.
The bright spot in all of this is that the New York lost cashier’s check bond is very reasonably priced.
Here’s an example: Let’s say you need a cashier’s check bond for $15,000. You may pay as little as $300, or 2% for this surety bond.
Bear in mind: That’s a onetime premium payment.
Now, the price that you will pay for the surety bond will be determined by an application and a standard credit check, so the premium may vary to some extent.
As part of the application process you may be asked to provide information about assets, income, net worth, and investments. And, again, your credit is a big factor in pricing.
But using the same example above, suppose that because of personal credit issues, you were required to pay 4%, or $600.
Think of it this way: Paying $600 to have a $15,000 cashier’s check reissued might be very well worth the price rather than just having lost the $15,000, potential forever.
The other ball in your court is that AmeriPro Surety Bonds is on your side. We want you to get the best pricing for your surety bond: It’s called the Golden Rule.
AmeriPro Surety Bonds is a surety bonds-only agency which provides fiduciary --- like the New York lost cashier’s check bond, license and permit, contractor, and court surety bonds throughout New York state.
We also provide surety bonds nationwide.
We thank you for choosing our agency and we will work very hard to get your lost cashier’s check bond issued as soon as possible.