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Discussion:Bounced check

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Discussion Forum Index --> Tax Questions --> Bounced check


Dusty (talk|edits) said:

9 March 2007
How do you handle a bounced check? Make a call? Letter? Other?

Thanks,

Dusty

Michaelstar (talk|edits) said:

9 March 2007
Just call them up and kindly let them know. Maybe they are have problems they are not aware about. It sucks that a check bounced and is frustrating but you can turn it into a positive. There is no need to make the client feel uncomfortable. Mistakes happen. I had one of my longest and best clients bounce a check once and they were very embarrassed. They were switching over from one account to another and the bank caused all kinds of problems with his checks.

Dusty (talk|edits) said:

9 March 2007
Mike:

Thanks, that is a great thought. Just let them know and let them make it right. First time I had a bounced check in 16 years. Only the 2nd one in 22 years.

Dusty

JR1 (talk|edits) said:

March 9, 2007
Guido with a spare clip (magazine for those of us who know about these things...).

Death&Taxes (talk|edits) said:

9 March 2007
The old horse head in the bed works too.

JR1 (talk|edits) said:

March 9, 2007
Well, you're from Joisey, I'm frum Chicahgo...we don't leave 'em with a second chance around here.

Jokadah (talk|edits) said:

9 March 2007
The client finds out the check bounced before you do. I make my clients bring me certified funds or cash AND a $25 bounced check fee. I hate bounced checks and would rather a client ask me to hold a check for a couple of days then have it bounce. The largest check that bounced for me was October, 2006 for $12K. (Years worth of accounting and tax prep) Client lived out of the area so I had her wire the funds directly into my account. She is now a certified funds or cash account as this was the second check of hers that bounced.

Bottom Line (talk|edits) said:

9 March 2007
If a check bounces, I convert the client to cash up front for at least two years. Of course I don't do any more work until I get paid for the bad check.

Deback (talk|edits) said:

March 9, 2007
BL - Same here. I'm waiting for a long-time client to bring in $140 cash for two bounced checks that she gave me this year (for her return and her daughter's). I even held one of the checks until her direct deposit date. Called her about a week ago when both checks came back to me, and I haven't heard from her yet.

Death&Taxes (talk|edits) said:

9 March 2007
Remember when you could deposit a check at your bank for 'collection' outside the Federal Reserve System. Your bank would call their bank and tell them they had a claim on $140....it cost money but for some it was worth it. We send back the bounced check and ask for another plus bill them a bounced check fee.

Bottom Line (talk|edits) said:

9 March 2007
Used to be able to go to their bank and ask them to convert it to a cashiers check (assuming the money was now in the account). Saved the risk of re-depositing. I NEVER redeposit a check.

If it's really a problem and you don't care about an ongoing relationship, you can contact legal authorities (in Florida the state attorney) and have them arrested for uttering a false document (bad check).

Inagpurwala (talk|edits) said:

9 March 2007
I charged extra $25 and next time around collect cash before filing.Inagpurwala 17:09, 9 March 2007 (CST)

Dusty (talk|edits) said:

10 March 2007
Thanks for all the different inputs.

Dusty

Taxea (talk|edits) said:

10 March 2007
I send a friendly letter letting them know about the check and ask that they send a Money Order within 15days. When I get the money order I send them back their check. taxea

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