Bluebird checks are offered by American Express. Consumers may apply for a Bluebird account and order checks online to use when paying bills or making purchases.
BlueBird is a pre-paid account.
When obtaining an Authorization Code you are making sure that funds are available to cover the check before you accept it for payment. Funds are immediately deducted from the consumer’s BlueBird account when the code is issued.
Authorization Codes
A valid Authorization Code must be obtained before the check is accepted for payment. Without the Authorization Code, the check will be returned against your merchant account unpaid. Your funds will be lost.
The consumer is instructed to obtain an Authorization Code PRIOR to writing the check. The consumer may write an invalid Authorization Code on the face of the check if the consumer intends to defraud you. Therefore, you should confirm an authorization code written in before you take the check.
When presented with a Bluebird check at your merchant location you should call to confirm a valid Authorization Code. There is a telephone number on the face of the check. Your clerk should call that number and either obtain a code if one is not written into the space provided, or call to make sure the Authorization Code written into the space is a valid code. If you cannot obtain a valid code, we recommend that you demand another form of payment.
Learn More About BlueBird Checks
You should properly train your staff on how this process works. You may log into bluebird.com if you want to understand the BlueBird system and/or check out these YouTube videos describing the Bluebird process:
CheckAlert Recommendation
CheckAlert recommends that you put a firm acceptance policy in place in your store if you intend to accept Bluebird checks for payment. Many Bluebird checks are returned because an Authorization Code is not present or is not valid.
