Hey all, quick question for you. The bank that I am at right now will submit a personal check twice. I get charged a $4 fee every time it is returned. But, the $ doesn't come out of my account unless it is returned the second time as NSF.

Here is an example... I deposit 3 checks on Friday evening totally $300. On Tuesday I get a letter saying parent #1's check for $100 was resubmitted for payment. My deposit statement is still at $300, but they took out a $4 fee. So, if parent #1 puts money in their account, all is good and it will go through. If they don't, I will receive another letter saying they are taking out a $4 fee and the $100 has been returned NSF (so then removing the $100 from my account).

My question for you is this...Sometimes this second try will take 5 days...so, do I pass along the $4 fee and hope the $100 stays in my acct and just watch? (I am no longer taking checks from one parent after I got my letter today but need to know what to charge him). So, do I charge him the $35 or the $4? The money is still in my account and it may as well clear but I am frustrated!

My parent handbook states:
If your check is returned to me for insufficient funds (regardless of the reason), you will be billed $35 plus all bank fees I incur as a result. This bill is due upon receipt. I have the right to request future cash only payments should this occur.

This is one area I need to change in my handbook - I will be charging a fee of $10 for resubmitted checks (I get charged $4 and I need to spend time waiting and watching my acct to make sure the $ stays there) and the a $25 fee for returned checks (totally $35)...any thoughts?

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I would be charging the 35$.

Also, I would attach late fees.

If the payment was due on Friday and you found out saturday, I would be telling asap. (I try not to work on weekends, but in this case I would) I would then tell them that they need to show up on MOnday morning with cash payment, late fee and returned check fee.

if my client did this...they would owe me full week tuition, $40.00 late fee, $50.00 return check fee and the kid cannot return to care until it is all paid. By the way, I also have a $10.00 late fee added each day after the one time $40.00 late fee.

Basically don't be late with your payment and don't bounce me a check, or it will cost you.

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but the thing is is technically, at this point the money is still in my acct....

i have $35 for returned check fee, and $10 per day late fee. This money was due last Friday (check was given last Friday).

How do I charge them a late fee if I still have the $ in my acct?

I am just trying to figure this all out, and not disagreeing, just trying to understand the angles...I need to have an invoice ready for him tonight...

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i see what you are saying....have you notified them of the returned check?

my bank would have taken the money out the second the money was not there, but I bank at bank of america...

In your case, you are still wondering if the money will stay or not.

I would still make them pay you cash up on return and then if the check goes through, you can refund them. So when the family returns, I would make them pay me in cash with return check fee.

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I would charge the $35 + $4 for each bank fee you get. I would also tell them that the bank hasn't removed the $100 but IF they do, you will be charging 100+35+4+4+daily late fees.

My bank immediately removes the $, and charges me $25. I charge my daycare parents $50, plus $20 per day late fees. It happened ONCE and the Mom couldn't pay me until the following Friday. Her regular amount was $175, plus $50, plus $140 late fees plus the $175 for the next weeks tuition, in cash. And no, I didn't allow her child to return until it was paid in full. She has to pay cash from now on, and is NEVER late. I don't WANT to have to charge those fees, I just want to be paid.

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ok, if everyone would continue to be so helpful (please please please), I need to word a letter requiring he only pay cash. The kicker is, he doesn't pick up tonight, grandma does so i need to send it with her so he can have it tonight so he doesn't bring me another gosh darn rubber check again.

I think I am, as of right now, going to charge just my bank fees and let him know he is facing a $35 fee + another $4 fee plus late fees if the money is removed from my account (if the check doesn't clear again). Hopefully this will light a fire under his butt to put some (expletive) money in his account. He has to be getting charged up the keister from his bank?! The issue is, I don't have a copy of his check and neither does my bank - I was going to call to verify finances but his bank is in TX (im in mn) and I don't remember what bank it was - I know it was for military people....maybe some of the military moms have a thought? I was under the impression military people could get in really big trouble for bouncing checks - more so than the general population - especially if he banks at a military bank? Who knows...all i know is I may be holding his daughter fancy schmancy new light up blingy sketchers as ransom - those things are expensive!

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