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Daycare Center and Family Home Forum>First Bounced Check....
MrsCoffee 06:14 AM 07-09-2010
Ugh...

I was firm and spoke to parent Thursday, (she pays Wednesday) that her check was not deposit-able. The teller told me to try the next day. When I spoke with her she made little eye contact and said "well @#$% check will be in the bank Friday, thats tomorrow I know money will be there then. I was shocked. I am already rearranging the way I accept money from this parent in that she pays me biweekly!

So my husband tried yesterday to put money in big surprise No Money in the account! Ok so I had to message the mom to to call me after she got off and I got off.

She called I told her, she said well I know I have money in there! I told her politely but firmly that she could bring me the cash tonight or she would be paying me an extra $35.00 NSF fee. It's in her contract and I was more than fair not calling her the day before but trying to redeposit the check. She said the bank wouldn't allow her to pull cash out she didn't know why... again Ugh...

Well she called had found money/borrowed money from a relative to avoid the fee. My husband told her that I was interviewing a family. She came right in the middle of me interviewing a family..... RRR I politely asked her to wait in the family room until I was done. It was a mess I got paid but she felt like I was attacking her. She felt i was being rude having her go downstairs. I don't know how I could have handled this any differently...


OY!
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tymaboy 06:39 AM 07-09-2010
I think if it had been me. I would have just said thank you & I will talk to her later when she dropped off the money. I would not have had her wait since you were busy with another family at the time. My policy is they get charged $20 if they give me a bad check plus any additional fee from the bank. Then cash only after that. So she would have owed me $20 & have to pay cash from now on.
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Daycare Mommy 06:40 AM 07-09-2010
((hugs)) I hate situations like that. I switched to cash in advance only years ago and that solves just about every payment headache. My only regret is not doing it sooner!
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MrsCoffee 07:01 AM 07-09-2010
I did put her on a cash only from here on out. Thanks I was just so agitated especially since she made me feel like I was victimizing her.... I know I have to be tough but sometimes it leaves ya feeling icky
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MrsCoffee 07:03 AM 07-09-2010
I agrree I shouldn't have let her stay since I was handling business. I am making a mental note of that one
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Crystal 07:04 AM 07-09-2010
I'm not sure I follow....I see she pays on Wed. so money should have been available then, right? BUT, she told you it would definitely be there on Friday and you still tried to cash it on Thursday?

Has this parent had issues paying on time before? If so, then I'd be upset and would probably charge a late fee. If she hasn't I would have made the exception this time and cashed the check on Friday, with the understanding that if it happens again there will be late charges and cash only from now on.

I am SO glad I have never had a parent bounce a check on me, that would be so frustrating!
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professionalmom 07:37 AM 07-09-2010
Originally Posted by krogers1982:
I did put her on a cash only from here on out. Thanks I was just so agitated especially since she made me feel like I was victimizing her.... I know I have to be tough but sometimes it leaves ya feeling icky
Once she started into the "you're singling me out and victimizing me" attitude, I would have simply stated, "You signed a contract. I am upholding my end. I expect you to do the same. I am treating you the same as I would any other client. I was being nice and understanding by giving you a break and not charging a late payment fee. However, if you continue to complain about me expecting my payment on time, I will charge the late payment fee. I do not give exceptions/special treatment to ANY client. That is what is fair and I expect you to respect and appreciate that."

Thank God the only client that bounced a check with me was awesome about it. I checked my account 2 days after it bounced. In that time, I had made many small purchases at different stores (grocery, hardware, crafts, etc.) and accumulated 8 NSF charges resulting from the bounced check. Luckily, I had it in my contract that the client is responsible for the bounced check, the bank charges, and all resulting charges from me bouncing checks due to their bounced check. Imagine my horror when I checked the account to find I was almost $500 overdrawn! I called the dad and explained the situation and that I needed for him to pay for the check, the bank fee, and the resulting NSF charges. I apologized that it was affecting him by so much money. He said, "Why should you be sorry? It wasn't your fault. It was ours. What time can I come by today and pay you?" I just about passed out by how upstanding and responsible he was. I was really terrified (before I made the call) that I would lose that family over this and they were really cool about everything. That family has been with me for almost a year and this weekend will be their last because they are moving out of state to be closer to extended family. I will definitely miss them. Bring on the tears and Kleenex!
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MarinaVanessa 08:24 AM 07-09-2010
Her day to pay is Wednesday, not Thursday, not Friday. WEDNESDAY. Grrr people like this peeve me.

I explain to every family to treat a check like cash. The check better be good whether I deposit it on the same day they give it to me or a week later. I get paid on Mondays at drop off the latest but don't usually get to deposit until Saturday morning and I had one DCM give me a check from her child's father and then ask me "You're depositing the check on Saturday right?" I immediately got suspicious "Why?" "Well he told me that if you deposit it before Friday it will bounce but on Saturday it will be fine. You always deposit Saturdays anyway right?" Grrr. I immediately handed it back. "No I don't always deposit it Saturdays and in fact I need payment today because I have to pay the mortgage" (lies).

She had to leave to scrounge up the cash and come back. All the while she was telling me that her child's father was a little irritated because I didn't deposit the checks right away (I have been known to get paid one Monday, hold on to the check, Get paid again on a 2nd Monday and deposit all of the checks at once) and that it made things confusing for him because he would think he had money then all of a sudden almost all of his funds would be wiped out and he would only have $100 or so. EXCUSE ME? I explained that it was not my responsibility to balance his funds and that he should know how much he has in the bank when he writes a check and how much he has left.

At least in this case the family was made to pay cash afterwards. I'm the same way. One bad check and you forever pay in cash.
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Crystal 08:25 AM 07-09-2010
Yeah, MarinaVanessa, I agree, her day to pay is Wed. not thurs. or fri. That's wy I said I would be okay with it IF it was the first time it happened.
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MarinaVanessa 08:28 AM 07-09-2010
Originally Posted by Crystal:
Yeah, MarinaVanessa, I agree, her day to pay is Wed. not thurs. or fri. That's wy I said I would be okay with it IF it was the first time it happened.
lol yeah I know it sounded like I was angry with you when I re-read it after posting so I went back to change it and delete your quote. It sounded like I was attacking you ... sorry. What I was trying to say was that people that give checks that know they can't be cashed right away or that don't keep track of their finances annoy me. Again, sorry
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Crystal 08:52 AM 07-09-2010
Originally Posted by MarinaVanessa:
lol yeah I know it sounded like I was angry with you when I re-read it after posting so I went back to change it and delete your quote. It sounded like I was attacking you ... sorry. What I was trying to say was that people that give checks that know they can't be cashed right away or that don't keep track of their finances annoy me. Again, sorry
haha! no worries, I didn't think you sounded like you were attacking me, and after re-reading my post I can see how you would think I did. lol! sorry.....
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momma2girls 01:08 PM 07-10-2010
Originally Posted by krogers1982:
Ugh...

I was firm and spoke to parent Thursday, (she pays Wednesday) that her check was not deposit-able. The teller told me to try the next day. When I spoke with her she made little eye contact and said "well @#$% check will be in the bank Friday, thats tomorrow I know money will be there then. I was shocked. I am already rearranging the way I accept money from this parent in that she pays me biweekly!

So my husband tried yesterday to put money in big surprise No Money in the account! Ok so I had to message the mom to to call me after she got off and I got off.

She called I told her, she said well I know I have money in there! I told her politely but firmly that she could bring me the cash tonight or she would be paying me an extra $35.00 NSF fee. It's in her contract and I was more than fair not calling her the day before but trying to redeposit the check. She said the bank wouldn't allow her to pull cash out she didn't know why... again Ugh...

Well she called had found money/borrowed money from a relative to avoid the fee. My husband told her that I was interviewing a family. She came right in the middle of me interviewing a family..... RRR I politely asked her to wait in the family room until I was done. It was a mess I got paid but she felt like I was attacking her. She felt i was being rude having her go downstairs. I don't know how I could have handled this any differently...


OY!
I had a family that bounced a check, and I called I bet 15 times and left messages on both phones, and no answer, they knew why I was calling- finally after I told them, they would be responsible for any of my checks that bounced(per contract) they called back right away and brought me cash. Ha!! This is something good to place in a contract along with the late fees if not paid in full!!!
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momma2girls 01:10 PM 07-10-2010
Originally Posted by tymaboy:
I think if it had been me. I would have just said thank you & I will talk to her later when she dropped off the money. I would not have had her wait since you were busy with another family at the time. My policy is they get charged $20 if they give me a bad check plus any additional fee from the bank. Then cash only after that. So she would have owed me $20 & have to pay cash from now on.
I increased my nonsufficient check rate from $25.00 to $30.00 each check. I had one bounce a check a yr. ago and it cost $28.00 with tax!!!
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professionalmom 06:16 PM 07-10-2010
Originally Posted by MarinaVanessa:
I explained that it was not my responsibility to balance his funds and that he should know how much he has in the bank when he writes a check and how much he has left.
I have been known to go into my bank and sit down with the banker to discuss why they show a different amount than me. If they show more money and I can't figure out why, I don't consider it "mine" until I know for sure. But I guess some people don't question it and just spend whatever the bank says they have, even if there are outstanding checks. UGH!! Maybe we should teach responsibility 101 in high school now. It would come in more handy in real life than some of the other courses offered.
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Chickenhauler 03:06 AM 07-11-2010
Originally Posted by professionalmom:
I have been known to go into my bank and sit down with the banker to discuss why they show a different amount than me. If they show more money and I can't figure out why, I don't consider it "mine" until I know for sure. But I guess some people don't question it and just spend whatever the bank says they have, even if there are outstanding checks. UGH!! Maybe we should teach responsibility 101 in high school now. It would come in more handy in real life than some of the other courses offered.
My senior year, I needed an extra math credit, so I took "Basic Math For Basic Living" and it taught things like balancing a checkbook, figuring how much you're really paying on a car loan, making a budget, keeping an expense record, the frightening facts about a mortgage (how much you're really paying in the end) and things like this.

It's amazing that this was a "make a credit" class instead of a required course!
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professionalmom 05:09 AM 07-11-2010
Originally Posted by Chickenhauler:
My senior year, I needed an extra math credit, so I took "Basic Math For Basic Living" and it taught things like balancing a checkbook, figuring how much you're really paying on a car loan, making a budget, keeping an expense record, the frightening facts about a mortgage (how much you're really paying in the end) and things like this.

It's amazing that this was a "make a credit" class instead of a required course!
But I'll bet it not even offered anymore. I think we need more basic skills courses in high school. I am amazed at how many adults do not know how to balance a checkbook, how expensive it is to buy on credit, how to cook/clean/do laundry, etc. And no one seems to understand the basics of our Constitution and the Bill of Rights. It's pathetic, how little the graduating seniors are prepared for REAL LIFE. Everyday I am more and more convinced that I need to home school my children so they can get the "normal" education plus the "life skills" education.
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Michael 10:10 PM 07-12-2010
Persephone just posted a great pdf on "Parents That Owe Money":

https://www.daycare.com/news/parents...o-daycare.html

Here is a sample Demand Letter for Bounced Check

Date

[Parent’s Name]
[Parent's Address]
[City, State Zip]


Dear [Parent’s Name]:

This letter is to notify you that your check to me, [Provider’s Name], for child care services for the week of [Date], in the amount of [$___], was returned by the bank because [you stopped payment or insufficient funds]. This is my official demand for payment of said amount in addition to the [$___] bank charge for the returned check. Please send immediate payment in the amount of [$___].

You may have a good faith dispute as to whether you owe the full amount. If you do not have a good faith dispute and fail to pay me the full amount of the check in cash within 30 days of this notice, a service charge of an amount not to exceed twenty-five dollars ($25) for the first check passed on insufficient funds* and the cost to mail this notice, you could be sued and held responsible to pay at least both of the following:

(1) The amount of the check
(2) Damages of at least one hundred dollars ($100) or, if higher, three times the amount of the check up to one thousand five hundred dollars ($1,500). If the court determines that you do have a good faith dispute with me, you will not have to pay the service charge, treble damages, or mailing cost. If you stopped payment because you have a good faith dispute with me, you should try to work out your dispute with me. You can contact me at:

[Provider’s Address]

Thank you for your prompt attention to this matter.
Sincerely,

Your Signature
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gbcc 03:51 AM 07-13-2010
Thats a great letter Michael for non-payment. However, with a bounced check you can actually press mistr. charges for bouncing the check. The threat of being arrested works much better than court. Most people know that claims court is a joke.
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momma2girls 05:00 AM 07-13-2010
Originally Posted by professionalmom:
Once she started into the "you're singling me out and victimizing me" attitude, I would have simply stated, "You signed a contract. I am upholding my end. I expect you to do the same. I am treating you the same as I would any other client. I was being nice and understanding by giving you a break and not charging a late payment fee. However, if you continue to complain about me expecting my payment on time, I will charge the late payment fee. I do not give exceptions/special treatment to ANY client. That is what is fair and I expect you to respect and appreciate that."

Thank God the only client that bounced a check with me was awesome about it. I checked my account 2 days after it bounced. In that time, I had made many small purchases at different stores (grocery, hardware, crafts, etc.) and accumulated 8 NSF charges resulting from the bounced check. Luckily, I had it in my contract that the client is responsible for the bounced check, the bank charges, and all resulting charges from me bouncing checks due to their bounced check. Imagine my horror when I checked the account to find I was almost $500 overdrawn! I called the dad and explained the situation and that I needed for him to pay for the check, the bank fee, and the resulting NSF charges. I apologized that it was affecting him by so much money. He said, "Why should you be sorry? It wasn't your fault. It was ours. What time can I come by today and pay you?" I just about passed out by how upstanding and responsible he was. I was really terrified (before I made the call) that I would lose that family over this and they were really cool about everything. That family has been with me for almost a year and this weekend will be their last because they are moving out of state to be closer to extended family. I will definitely miss them. Bring on the tears and Kleenex!
I had to add this same thing as well. One of my families actually bounced 3 weeks of checks before I received the first one back. THis is when I added this, if any of my checks bounce, as a result of yours bouncing, you are responsible for them as well.
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Janet 10:54 AM 07-13-2010
I have one family that has had 3 bounced checks, but this is over a 4 year period and they told me straight away (before I even got the returned check from my bank). I was cool with it on all 3 occasions because they made sure to pay me in cash right away. I understand that things come up financially that can really throw us for a loop. I grew up in a home where only portions of bills were paid each month (enough to not get things shut off) and I learned the phrase "rob Peter to pay Paul" at a very young age.

Chickenhauler, it's cool that you had the opportunity to take a real life situation math course. I think that every school should require a class like that in order for kids to graduate. High school kids graduate with the ability to do Calculus and Trigonometry but are totally unable to balance a check book! It's crazy!
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MarinaVanessa 12:19 PM 07-13-2010
Here's my bounced check letter. It's very harsh and wordy but I HATE getting bounced checks and take it very seriously and like to cover all of my bases. They might as well not have paid me at all for all the trouble I have to go through because of a bounced check.

[Your Name]
[Daycare Name]
[Address]
[City, State Zip]
[DATE]

[Recipient Name]
[Street Address]
[City, State Zip]

Dear [Recipient Name]:
This is to inform you that the following check was returned to us due to [insufficient funds/Stopped Payment] and is now considered late:
Check number [number]
Dated [date]
Payable to [Name]
In the amount of [amount]

As per our agreement which you signed that states:

"If tuition fees are not paid in full by the specified date, care will not be provided for your child. There is a $5.00 initial late payment fee if tuition is not paid by 6:00 p.m. on the Friday that your payment is due. A $5 additional fee is added for every day thereof that your payment is late including weekends. These charges will be in effect and care will not resume until all monies plus late charges are paid in full. Persistent late payments are grounds for termination."

"There will be a $35.00 charge for all returned NSF (Non-Sufficient Funds) or SP (Stopped Payment) checks as well as any additional bank fees that are incurred. This includes, but is not limited to, fees charged to the provider’s account from any checks bouncing or overdraft charges from debit card usage as a result of a non-sufficient check.

If a NSF or SP is issued the tuition amount as well as fees will be due immediately and in cash. Checks will no longer be accepted from your family. Your child will not be cared for until tuition and fees are paid in full and payment will still be due."

We request that you replace this check ,$35 fee and any late fees which have accrued with a cash payment immediately. Checks are no longer an accepted form of payment and therefore all further tuition payments will only be accepted in the form of cash. Childcare will not be provided until said amount is paid in full and payment will still be expected even if your child is absent.

Unless we receive good funds for said amount within [number] days, we will begin appropriate legal action.

Thank you for your prompt attention to this matter.


Sincerely,
[Name]
[Daycare Name - Title]
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Chickenhauler 07:00 PM 07-13-2010
Originally Posted by professionalmom:
But I'll bet it not even offered anymore. I think we need more basic skills courses in high school. I am amazed at how many adults do not know how to balance a checkbook, how expensive it is to buy on credit, how to cook/clean/do laundry, etc. And no one seems to understand the basics of our Constitution and the Bill of Rights. It's pathetic, how little the graduating seniors are prepared for REAL LIFE. Everyday I am more and more convinced that I need to home school my children so they can get the "normal" education plus the "life skills" education.
Honestly, when it comes to civics/social studies, history, and hands-on learning (shop class-technology, whatever they want to call it), I think our kids have learned more by listening to the wife and I talk, me rant, and being a 'go-fer' than they have in school.

But, I couldn't tell my kids a damn thing about Trig, Calc, Chem, or Foreign Languages besides "Er, go ask your mom"
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MarinaVanessa 08:38 AM 07-14-2010
Originally Posted by Chickenhauler:
My senior year, I needed an extra math credit, so I took "Basic Math For Basic Living" and it taught things like balancing a checkbook, figuring how much you're really paying on a car loan, making a budget, keeping an expense record, the frightening facts about a mortgage (how much you're really paying in the end) and things like this.
I took it also in Senior year and I actually enjoyed it, although I took it for different reasons. I had extra credits but didn't want to go home half days (I worked for my parents at their business EVERYDAY except Sunday) so I took a bunch of electives. That year I took Math, English, art, yearbook, auto mechanics, floral arrangement, peer couseling and this basic math class lol. This class prepared me for when I moved out after graduation (don't tell my parent's that because they were not happy that I moved out). I NEVER learned any of this from my parent's. My parent's are not too careful with their finances and now I watch every penny in the bank lol. My mom randomly asks how much I have in my daughters saving and is amazed that I can tell her to the penny at any given time lol. I also think that this class should be taught no matter what. It's all what some of us consider common sense and basic but then again, how many people on this planet lack common sense?
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