It is simple for a person to fill out the memo section on a check. Whatever you do put in there, it should refer to either the amount of money you are paying or something that alerts the receiver. For example, in most situations people simply write on the memo check 'paid in full'. This therefore identifies that no more payments will be required for this particular recipient.
Once a settlement has been agreed you should ensure that you receive all the relevant paperwork detailing the agreements of the settlement in order to store them in your records as proof, if you ever need to access them again. The settlement should also identify that the creditor will allow a check with the memo 'paid in full'.
You should then proceed to write the check with the amount decided on within the settlement and write 'paid in full' on the memo portion of the check.
- Coming to a settlement agreement
- How to finalize a settlement agreement
Once a settlement has been agreed you should ensure that you receive all the relevant paperwork detailing the agreements of the settlement in order to store them in your records as proof, if you ever need to access them again. The settlement should also identify that the creditor will allow a check with the memo 'paid in full'.
You should then proceed to write the check with the amount decided on within the settlement and write 'paid in full' on the memo portion of the check.