Why Checks Are Still Useful

Why Checks Are Still Useful A History Since the 12th century when the “bill of exchange” was introduced in Florence, Italy, checks have been a secure and convenient method of payment for merchants and traders. In the early 19th century, the Commercial Bank... More

Why Checks Are Still Useful A History Since the 12th century when the “bill of exchange” was introduced in Florence, Italy, checks have been a secure and convenient method of payment for merchants and traders. In the early 19th century, the Commercial Bank of Scotland was the first institution to personalize checks with customer names and by the mid-19th century the Bank of England introduced the first modern checkbook.1 Modern Times In the 20th century, checks became one of the most widely used forms of payment in the United States. It’s estimated that in 2001, 70 billion checks were written in the United States alone.2 However, with the advent of technology, and the rise of debit and credit card usage, that number has declined in the last decade. Still, with 10% of all US payments still done by checks, it’s clear that the paper bill is an important part of all monetary transactions.3 Credit Cards – Not Accepted Everywhere Today, studies show that 55% of the 27 million small businesse Less