The process involves accurately representing a monetary amount on a financial document. The written portion expresses the dollar amount in words, while the numerical portion displays the figure using numerals. For example, when transferring $50, the written line should read “Fifty and 00/100” and the numerical box should display “$50.00.”
Precisely conveying the amount is crucial for preventing fraud and ensuring the check is processed correctly by financial institutions. Ambiguous or inaccurate entries can lead to payment delays, rejection of the check, or even potential alterations by unauthorized parties. Historically, this practice provided a verifiable record, less susceptible to manipulation than solely numerical entries.