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Currently, other forms of restrictive endorsement messages have come in to use, and if you are looking for one of these specific types of stamps we have several for you to choose from. Most notably, we offer rubber stamps for restrictive endorsements of U.S. Bearer Securities, Title 31, Part §328.5 and §328.6. We offer five versions of this endorsement stamp. Please view the examples and choose the correct version for your needs. For versions 2-5 you are required to enter a city for the Federal Reserve Bank and we will enter that on the stamp for you prior to production. Restrictive Endorsement Stamps have been a part of financial transactions for a long time, and the example everyone is familiar with is the simple For Deposit Only message stamped on the back of a check, that restricts the check’s use to it’s deposit into that person’s bank account. This stamp effectively limits further action on the check by the stated payee to only being able to deposit it. In banking, a restrictive endorsement is the type of endorsement whereby the financial instrument or a check is limited to use by the payee (receiver). The restrictions or constraints highlighted on the check create the limitation placed on a restrictive endorsement. An example restriction would be "pay to the order of the bank" or "For Deposit Only." Such can be followed by the business name or the payee's account number. In the cases of companies, such negotiable (check) instruments are endorsed by stamping at the back. Indicating "For Deposit Only" and stamping the check implies that the payee can only deposit the cash in their bank account, but not cash it out nor use the check for any other action.

Restrictive endorsements are commonly used to settle debt since they protect the debtor from future disputes with the creditors. This is because the outlined conditions tie the creditor upon cashing out the check, which means they have accepted the terms and amount of debt settlement. The restrictions also can be used to save the debtor during debt settlement disputes. Companies commonly use restrictive endorsements to improve the internal control of their assets.

When "For Deposit Only" is indicated on the back of a check, it bars the payment of the check to the endorser. In the case of restrictive endorsement, the account number to which the money is to be deposited is added. An example would look like "For deposit only to account 8547-9664." This means that the funds would only be deposited to the specified account. When these words are added at the back of a check, they restrict the money from being diverted to someone else. This contrasts with a case where the account holder signs their name on the endorsement block behind the check. In such a case, the check would be regarded as a bearer instrument, and therefore anyone in possession of the check would be able to cash it or deposit it into their account.

At Rubber Stamp Champ, we have over 30 years of experience in creating custom stamps. We are your source for all your stamping needs! Have a question or need assistance ordering? Call our friendly customer service and we will help ensure you get the right stamp for your needs!