From Wells Fargo site: If your employer sends you a check, make sure it is made payable to Wells Fargo Advantage Funds FBO John Smith. Forward the check to us and reference your account number or Social Security number. You should not endorse this check.
For Bank Only
The check is not for the guardian. The check is for the benefit of the minor and must be used for that. They can be held accountable to the court.
You can`t do anything with it, other than take it to the bank it is made out to and deposit it.
In short, no. Usually FBO checks (For Benefit Of) are made out to an institutional administrator in a company-to-company transfer, rollover, or 1035 exchange, where the funds are NOT to be handled by the individual for tax purposes. Institution-to-institution transfers are not endorsed by the FBO person because checks are negotiable instruments between the issuing company and the receiving company. Often in these type of transaction a physical check is not issued, but the funds are sent by wire or electric fund transfer (EFT). There are really two reasons for a custodian to issue a paper FBO check: (1) the individual is the sent the check so they know that the correct amount of their funds have been taken out of the previous account. They can then mail the check to the new company and there are no income tax consequences because the check was not made out to them. (2) The previous custodian earns interest on the funds being transferred from the date of issuing the check until the new custodian cashes the check. This interest on uncashed checks is called float. Large institutions have very large sums of money in outstanding checks earning interest, and even at low interest rates, this 'float' can be a sizable amount and the source of considerable income for the institution.
To sign the back of a check is to endorse it.
NO
FBO stands for â??for the benefit of.â?? FBO checks have a final beneficiary who is different than the person that is noted on the â??pay to the order ofâ?? line on the check.
For Bank Only
FBO on a check stands for the term 'for the benefit of' used by third parties or when dealing with minors . The check must be endorsed on the second line following for deposit only in the first endorsement line.
(In reference to) A check is issued in my name then FBO my mother's name. She passed a few years back. For Benefit of , when is written in a check, meaning that the check final beneficiary is someone else.
The check is not for the guardian. The check is for the benefit of the minor and must be used for that. They can be held accountable to the court.
You can`t do anything with it, other than take it to the bank it is made out to and deposit it.
That abbreviation in law stands for the phrase "for the benefit of".
"For the benefit of", also abbreviated "F/B/O". For Benefit of , when is written in a check, meaning that the check final beneficiary is someone else.
For Benefit Of
Fixed base operator
for the benefit of