That depends whether you are talking American English or British English. As DavidK said (without qualifying it) in American English, you can drop the 'and'. In British English, you say the 'and'.

The rule is that you put the "and" only before units lower than 100. I lived in England for several years, I've always heard it used consistently, but I'm not sure about other dialects. So: Three hundred twenty-two thousand nine hundred AND seven Notice no "and" between "three hundreds" because what follows isn't units lower than 100. Also: 11054 -> eleven thousdand AND fifty-four

Well for handwriting or typing, you would always use digits (1234...), in English nobody writes out the entire word for a number unless it is something smaller like "twenty-two" or "four." In speech, you actually never use "and" to say the number. You would just say "three hundred twenty-two thousand, nine hundred seven." However, many Americans include "and" when they are talking because that is just a habit that we have, but it is not the right way to say it.

When writing dollar amounts on a check, we are taught to use "and" only before the fractional part of the amount.