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  #1  
Old 07-18-2014, 07:59 AM
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Default DCP Trying to Get Back Deposit

Advice needed.
I've been holding this spot for 2 months and child isn't scheduled to start until Sept. I don't mind holding it. But of course I required a deposit. Parent paid in cash and did not return any paperwork since baby wasn't born. Not even signed policies yep, my bad.

Now kid isn't coming and parent is asking for a refund. I simply replied (email) that deposits are not refundable and to refer to my policies. Of course she replied that she didn't sign anything.
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Old 07-18-2014, 08:02 AM
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Originally Posted by DaisyMamma View Post
Advice needed.
I've been holding this spot for 2 months and child isn't scheduled to start until Sept. I don't mind holding it. But of course I required a deposit. Parent paid in cash and did not return any paperwork since baby wasn't born. Not even signed policies yep, my bad.

Now kid isn't coming and parent is asking for a refund. I simply replied (email) that deposits are not refundable and to refer to my policies. Of course she replied that she didn't sign anything.
She submitted a deposit. That IS committing.

I love how parents view the deposit as a guarantee but ONLY if they want it to be that. Then when things don't work out on their end, it should suddenly be something completely different.


E-mail her and ask her why she paid a deposit then?

When she replies "to hold the space"

Reply that you held up your end of the deal so the deposit is not refundable.
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Old 07-18-2014, 08:05 AM
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Suck city... see when I ask for first & last weeks deposit, parents have to sign the contract or the intent to contract form at the same time (both say deposit is not refunded for any reason), then they get the rest of paperwork to fill out. I also write NO REFUND on the receipt given. Not sure how I would handle your situation
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Old 07-18-2014, 08:12 AM
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Originally Posted by Blackcat31 View Post
She submitted a deposit. That IS committing.

I love how parents view the deposit as a guarantee but ONLY if they want it to be that. Then when things don't work out on their end, it should suddenly be something completely different.


E-mail her and ask her why she paid a deposit then?

When she replies "to hold the space"

Reply that you held up your end of the deal so the deposit is not refundable.
Yep!

I would have something written up to sign with your deposits in the future. But, your policies (which she received) state the deposit is non-refundable. If she took it to court (and I doubt she'd go that far), I doubt she'd win.
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Old 07-18-2014, 08:14 AM
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Ummmmmm. You're not a bank. People can't make deposits and withdrawals.
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Old 07-18-2014, 08:16 AM
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Ummmmmm. You're not a bank. People can't make deposits and withdrawals.
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Old 07-18-2014, 08:17 AM
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Originally Posted by LysesKids View Post
Suck city... see when I ask for first & last weeks deposit, parents have to sign the contract or the intent to contract form at the same time (both say deposit is not refunded for any reason), then they get the rest of paperwork to fill out. I also write NO REFUND on the receipt given. Not sure how I would handle your situation
Yes. Its certainly a lesson learned. I won't take a deposit without a contract again.

The last time I failed to return a deposit the state showed up at my door and I got a really mean lady and a laundry list of citations, which were ridiculous, not picky things.
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Old 07-18-2014, 08:21 AM
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Yes. Its certainly a lesson learned. I won't take a deposit without a contract again.

The last time I failed to return a deposit the state showed up at my door and I got a really mean lady and a laundry list of citations, which were ridiculous, not picky things.
Interesting!

Do you have a licenser assigned to you? If so, give her a "heads up" this time. I do any time there is a parent conflict. Funny thing is, every time I've called, it's come to nothing (they dont' call). The first couple times in the beginning when I didn't call, the parent did. Murphy's Law? I'll use it to my advantage, if that's the case.
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Old 07-18-2014, 08:21 AM
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Ummmmmm. You're not a bank. People can't make deposits and withdrawals.
Perfectly said.
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  #10  
Old 07-18-2014, 08:23 AM
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Maybe create a deposit form . Have it say they are leaving a deposit to hold the spot , non refundable , etc...

That way even if they do not sign , fill out or return the other paperwork you are covered .
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  #11  
Old 07-18-2014, 08:30 AM
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lesson learned… deposit with signed contract (even if baby isn't born, they can leave first name blank). Did you even give a receipt for the cash deposit? If you google "security deposit receipts" you will find lots that you can make work for daycare - always have them on hand so even if you aren't collecting the contract yet you can have this on file! I would never take cash without giving a receipt for it.

I would tell her that the deposit was given to hold a spot in your childcare. You have held the spot for the past 2 months. Deposits are non-refundable. If she handed over cash she was requesting the hold, which you did, so she can either start when scheduled or not but the deposit does not get refunded.
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Old 07-18-2014, 08:41 AM
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Originally Posted by Heidi View Post
Interesting!

Do you have a licenser assigned to you? If so, give her a "heads up" this time. I do any time there is a parent conflict. Funny thing is, every time I've called, it's come to nothing (they dont' call). The first couple times in the beginning when I didn't call, the parent did. Murphy's Law? I'll use it to my advantage, if that's the case.
In my state different people handle complaints than those who handle regular inspections. In addition, they all get moved around every couple of years to avoid relationships forming.
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Old 07-18-2014, 08:47 AM
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Ok. Major change of events here.

Literally has me saying WTF

Now she wants the spot and needs to know when I need the forms by?????

So far this email correspondence has been perfectly nice and civil and only consisted of e3 emails. Her terming and asking for a refund. My declining and her response that she didn't sign anything and basically nicely begging for a refund. I never responded. She just wrote back again asking to keep the slot.
I still have not responded.

but my blood pressure is through the roof and I currently would rather strangle her with my bare hands. Not literally!
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Old 07-18-2014, 09:02 AM
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Originally Posted by DaisyMamma View Post
Ok. Major change of events here.

Literally has me saying WTF

Now she wants the spot and needs to know when I need the forms by?????

So far this email correspondence has been perfectly nice and civil and only consisted of e3 emails. Her terming and asking for a refund. My declining and her response that she didn't sign anything and basically nicely begging for a refund. I never responded. She just wrote back again asking to keep the slot.
I still have not responded.

but my blood pressure is through the roof and I currently would rather strangle her with my bare hands. Not literally!
She may want to use day care now as to not lose any money from deposit. I would highlight in contract that payment is made in advance and deposit would be used as last week's payments after notice has been given. She may be looking to just get her money worth if she thinks she can't get her deposit back.
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  #15  
Old 07-18-2014, 09:04 AM
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Originally Posted by hope View Post
She may want to use day care now as to not lose any money from deposit. I would highlight in contract that payment is made in advance and deposit would be used as last week's payments after notice has been given. She may be looking to just get her money worth if she thinks she can't get her deposit back.
Oh I would never let her through the door without a check in hand.
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Old 07-18-2014, 09:07 AM
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this is very weird......

I am guessing she found something she liked better (probably just cheaper rates) but now since you wont return the deposit, your daycare is cheaper and she has to stay there.
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Old 07-18-2014, 09:13 AM
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Quote:
Originally Posted by hope View Post
She may want to use day care now as to not lose any money from deposit. I would highlight in contract that payment is made in advance and deposit would be used as last week's payments after notice has been given. She may be looking to just get her money worth if she thinks she can't get her deposit back.
Yeah I would figure out a way to remedy this and explain she can't just use up her deposit and take off. Why did she suddenly not need care yesterday but today she does? Sounds like she found care elsewhere. Gosh parents are so silly! Why on Earth would she think that she could get her deposit back 2 mos later. I would be tempted to say she lost her deposit yesterday when she said she wasn't coming after all so you filled the spot with someone on your waiting list who's been waiting 2 months to start. These people don't sound long term or reasonable.

And I dealt with my first deposit last month and thankfully baby started about 2wks later (deposit holds their spot for 30 days and is either rolled into their last 2wks of care or non-refundable if not started within 30 days and they sign a form stating that) but could see that being a problem if you don't have them sign something. And what a jerk to say "I didn't sign anything"... No but you gave a deposit to HOLD the spot!! Duh!
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  #18  
Old 07-18-2014, 09:17 AM
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Originally Posted by cheerfuldom View Post
this is very weird......

I am guessing she found something she liked better (probably just cheaper rates) but now since you wont return the deposit, your daycare is cheaper and she has to stay there.
Until the deposit is used up and then she will leave.

Having gotten something for every penny she forked over.
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  #19  
Old 07-18-2014, 09:21 AM
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this is very weird......

I am guessing she found something she liked better (probably just cheaper rates) but now since you wont return the deposit, your daycare is cheaper and she has to stay there.
Could be!
My original response included an offer of less hours per day for less $. Basically my dream daycare hours of 9-2. Could be that she was able to make those hours work and it could be less $ than whatever place she looked at. but who knows.
I will be sure to review policies with her, in person, and have her sign it. I just can't say no to the 9-2 schedule that I wish all the kids were on....
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Old 07-18-2014, 09:28 AM
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MIL was taking the baby two days and two days she would be here.

MIL got sick.
Mom decided not to go back to work.

I offered the half day for half price.
She decided she would take the spot and use it for "kid free time" with the shortened day.

Now, how to deal with it if she tries to say she wants to use up the deposit over four weeks of these shortened days? I will probably hand her the check and say no thank you. Go away.
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Old 07-18-2014, 10:01 AM
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Ok. So how to deal with this?
Because mom only wants two days/week at half the time/rate.
which means I have double of what her depsit needs to be. There is no way I'm offering two weeks upfront unpaid. I'm thinking half price for four weeks until that portion of the deposit is used up?


Or what would you do?
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  #22  
Old 07-18-2014, 10:16 AM
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Quote:
Originally Posted by DaisyMamma View Post
MIL was taking the baby two days and two days she would be here.

MIL got sick.
Mom decided not to go back to work.

I offered the half day for half price.
She decided she would take the spot and use it for "kid free time" with the shortened day.

Now, how to deal with it if she tries to say she wants to use up the deposit over four weeks of these shortened days? I will probably hand her the check and say no thank you. Go away.
Never give back a deposit. The deposit if for an agreement verbal or written. She can ask for changes all she wants, but will cost extra! I would put a month's notice on the contract too. For insurance sake.
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Old 07-18-2014, 10:48 AM
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Originally Posted by DaisyMamma View Post
Ok. So how to deal with this?
Because mom only wants two days/week at half the time/rate.
which means I have double of what her depsit needs to be. There is no way I'm offering two weeks upfront unpaid. I'm thinking half price for four weeks until that portion of the deposit is used up?


Or what would you do?
She didn't sign anything... so HER deposit was simply for a spot which, at the time of her deposit, was a full-time spot. She can pay full price and her deposit will still go toward her last two weeks (or whatever) and the rest was for spot holding a full-time spot that she didn't use. Not your problem, go on as normal
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Old 07-18-2014, 10:50 AM
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You gave her the policies and she gave you the deposit. so you had a verbal contract even if she did not sign the contract.
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Old 07-18-2014, 10:56 AM
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how does you deposit normally apply... just to hold the spot ?? last 2 weeks of care. first two weeks... just follow what you have written
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Old 07-18-2014, 12:21 PM
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Ummmmmmm, sorry - since you decided not to come (and forfeited your spot) I filled it with someone else..... end of story.
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Old 07-18-2014, 01:02 PM
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Ummmmmmm, sorry - since you decided not to come (and forfeited your spot) I filled it with someone else..... end of story.
That is the route I would take. What a thorn in your side...
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  #28  
Old 07-18-2014, 01:07 PM
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What exactly was the deposit for? If it was a fee to hold the spot then that money is gone - it was "used up" holding the spot. IMO she's getting off cheap, holding a spot for 4 months with just 2 weeks' payment.
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Old 07-18-2014, 02:09 PM
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Originally Posted by AmyKidsCo View Post
What exactly was the deposit for? If it was a fee to hold the spot then that money is gone - it was "used up" holding the spot. IMO she's getting off cheap, holding a spot for 4 months with just 2 weeks' payment.
Last two weeks.
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Old 07-18-2014, 02:16 PM
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I'm sorry, dcm, but when you emailed me to say that you would be declining the spot, I contacted the first person on my wait list and they took the spot.

Sincerely,
Bite me
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Old 07-18-2014, 02:24 PM
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Originally Posted by Wednesday View Post
I'm sorry, dcm, but when you emailed me to say that you would be declining the spot, I contacted the first person on my wait list and they took the spot.

Sincerely,
Bite me
Yep! And I would consider the next two weeks her last two weeks and would apply the deposit towards that. It's just too bad that they're not planning on starting until September.
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Old 07-18-2014, 03:48 PM
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Personally I think your 1st mistake was to take a deposit without a signed contract but I think you know that and it's a learning experience.

Second mistake I think you made was to agree to take her on for half days. I would have said :Sorry Susan but the spot which I have open for is for full time. I do not have any part time openings at this time. I would however be more than happy to provide you with two weeks of full time care and apply your deposit as payment towards that as that is what the deposit is for..."

Personally I would not let them use the deposit towards part time half day rates. I call my deposit a 2 week deposit which covers child care of their last TWO WEEKS, regardless on how many hours they actually attend.
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Old 07-18-2014, 06:58 PM
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I'm sorry, dcm, but when you emailed me to say that you would be declining the spot, I contacted the first person on my wait list and they took the spot.

Sincerely,
Bite me
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Old 07-18-2014, 08:28 PM
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So is she giving notice ??? If she gives you notice it is for the last 2 weeks
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Old 07-21-2014, 09:02 AM
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I attempted to work it out with this dcm and let her do the modified schedule. Long story short I believe it was what pps suggested and that she found cheaper because suddenly she wanted 7:30 drop off to "be at work" at 8. Well I open at 8 so it caused a whole new set of problems. I opted to terminate before care even started.

Why can't good daycare clients be easier to find. Sigh
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Old 07-21-2014, 09:23 AM
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Originally Posted by DaisyMamma View Post
I attempted to work it out with this dcm and let her do the modified schedule. Long story short I believe it was what pps suggested and that she found cheaper because suddenly she wanted 7:30 drop off to "be at work" at 8. Well I open at 8 so it caused a whole new set of problems. I opted to terminate before care even started.

Why can't good daycare clients be easier to find. Sigh
Did you refund?

Last edited by Blackcat31; 07-21-2014 at 09:37 AM.
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Old 07-21-2014, 09:28 AM
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Did you refund?

Nope I didn't

Last edited by Blackcat31; 07-21-2014 at 09:38 AM.
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Old 07-21-2014, 11:17 AM
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Nope I didn't
Good
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Old 07-21-2014, 11:48 AM
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Good for you!!!!
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Old 07-21-2014, 12:42 PM
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Ummmmmm. You're not a bank. People can't make deposits and withdrawals.
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Old 07-21-2014, 12:49 PM
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Quote:
Originally Posted by DaisyMamma View Post
I attempted to work it out with this dcm and let her do the modified schedule. Long story short I believe it was what pps suggested and that she found cheaper because suddenly she wanted 7:30 drop off to "be at work" at 8. Well I open at 8 so it caused a whole new set of problems. I opted to terminate before care even started.

Why can't good daycare clients be easier to find. Sigh
Wish I knew.... It sounds like it you wouldn't have gone the route you did then you'd have never ending problems. It sounds like you made the right decision, and I don't blame you for not refunding.
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  #42  
Old 07-23-2014, 11:54 AM
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Quote:
Originally Posted by DaisyMamma View Post
Advice needed.
I've been holding this spot for 2 months and child isn't scheduled to start until Sept. I don't mind holding it. But of course I required a deposit. Parent paid in cash and did not return any paperwork since baby wasn't born. Not even signed policies yep, my bad.

Now kid isn't coming and parent is asking for a refund. I simply replied (email) that deposits are not refundable and to refer to my policies. Of course she replied that she didn't sign anything.
Some of this problem might be resolved if you didn't use the word "deposit." When parents hear this word they think they can get it back (even though it might say "nonrefundable deposit" in your contract). I'd suggest calling this a "nonrefundable holding fee." See my article on this:http://www.tomcopelandblog.com/2010/...lding-fee.html
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  #43  
Old 07-23-2014, 01:22 PM
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I agree with Tom.

Here is my policy from my handbook (I only take infants if they are siblings of current enrolled).

"HOLDING AN INFANT SIBLING SPOT

If there is a spot offered to you during pregnancy for an infant sibling of a child already enrolled, you are required to pay a weekly fee equal to half the tuition rate to hold this spot for the sibling. If you wish to hold a position, you will need to pay the non-refundable weekly fees beginning at the time of the baby’s birth. This fee holds the infant sibling’s spot for up to 12 weeks after birth. After those 12 weeks, regardless of the infant's enrollment, regular full rate childcare weekly fees will be due to continue to hold/keep the spot. If the non-refundable weekly holding fee is not paid at any time, the spot will no longer be held for the infant sibling. The provider accepts infants at a minimum age of 8 weeks of age.

Any siblings enrolled will be expected to continue enrollment during any maternity leave. Full childcare fees are required for any enrolled siblings during maternity leave, regardless of attendance. There is no half rate benefit during this time for any enrolled siblings. If full fees are not paid as normal, the child’s spot will be terminated and the family will be responsible for the final two week termination payment. "

I never once use the term "deposit" as it has created such confusion here
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