WWYD - Paycheck bounced - UPDATE #44

[Soon2B4]

I am not certain why you have to cash the checks at her bank? Can't you cash them at your bank and not pay the fee?

If she cashes them at the bank they are drawn on, they can tell her right then if the check is good. If she deposits them at her bank, it has to make it's way back to the bank it is drawn on. If it's no good, she will get hit with a fee at her bank for depositing a nsf ck and the hassle of trying to get her money.

 

[kim929]

The more money the bank makes, the bigger the bonus for the big guys.

I think I would pay the 7 dollars, so I have the cash and no worries...

 

[EllenFrasier]

If she cashes them at the bank they are drawn on, they can tell her right then if the check is good. If she deposits them at her bank, it has to make it's way back to the bank it is drawn on. If it's no good, she will get hit with a fee at her bank for depositing a nsf ck and the hassle of trying to get her money.

Exactly. But I guess I will take my chances with depositing them into my bank's account rather than paying $7.00 each time or opening an account there.
She will not charge me tax on the $10, but just add it on or give me $10 cash.
If it happens again and I intend to keep this job, I will have to ask her if she can pay me in cash and just give me the check stub.

 

[DisneyCowgirl]

I've experienced the fingerprint thing before--but not a $7 fee. That is outrageous.

I have seen that this is standard now other than at credit unions.

 

[Leajess99]

Bank of America, Chase, Citizens have all started charging fees to non-customers that cash checks even if drawn upon their banks. Opening an account there just to cash your paycheck is a good idea... EXCEPT that unless you have direct deposit or maintain a certain balance they will be charging you a monthly fee.

I just cashed a check at Chase from a Chase customer the other day and was not charged anything. The only thing Chase related I have is my Disney Visa.

 

[stitchlovestink]

I would call and speak to the Manager as I don't see how they can charge you to cash THEIR bank's check.

ETA: What bank??

about 5 years ago, Wachovia wanted to charge me $5 to cash one of their checks because I didn't have an account w/ them.
and I know previously I have had to put the thumb print on an M&T Check but that was a couple of years ago. Think I had to do that at Chase too. I hate it when customers give DH checks. He tells them Cash Only and sometimes they still hand him a check. Then the problem is he has to make another trip back to get cash which takes even longer and even more gas... I wish people would LISTEN...

I am not certain why you have to cash the checks at her bank? Can't you cash them at your bank and not pay the fee?

because the check was returned for insufficient funds. and if she had written checks on her account expecting the money to be there, she could have had a 'grand mess' on her hands!

I still say you need to check into the laws where you are. I know it was a federal offense (when I worked in the banking industry) to bounce paychecks. and then let your employer know this. That might wake her up a bit. Just like if you bounce a check to an individual or business you can be held liable for twice the amount of the check plus reasonable collection fees. Makes you think twice about making sure there's enough money in the account before sending the check off. That's also why you should never post date a check. It's illegal and if the bank doesn't catch it and puts it thru and it bounces...so sorry, so sad, too bad, it's on you. Not trying to preach, just give food for thought.

 

[aprilgail2]

M&T Bank charges a $10 fee to cash one of their checks if you are not a customer. It's becoming standard policy.
.

Seems like a reasonable policy to me. I would never think that I could walk into a bank I did not even have an account with and they should cash a check for free just because the other person who wrote the check has an account there!

 

[LovesTimone]

This happen to me a few years ago, and what a mess it caused, over draft fees, bounced check fees at the place's I had written check, what a mess. When I called my boss all she said was oops and laughed, she was not laughing when I told her that it is against the law I believe it is a federal offense and that I wanted my money, with the all the fees, and a letter stating that it was error on her end and not mine, and I made her pay me in cash then and going forward. I started looking for another job right then, in less that 2 weeks I had moved on. Two months later I heard that she was out of business and that there were some legal issues that were going on. Glad I got out when I did.

 

[Bell30012]

Opening an account at Citizens Bank won't be free. Citizens Bank's cheapest account is called Green Checking and the maintenance fee varies depending on what state that you live in. (Rhode Island is $4.99) They will of course, give you waive the fee if you have direct deposit, which since you are cashing paychecks, you don't have. You could also make five qualifying purchases or payment transactions per month or maintain an average balance of $1500.

The days of free checking are quickly disappearing. Banks are taking a bath going through all these mortgage cram downs. They are increasing fees everywhere to make up for it.

For the next few paychecks, I'd still deposit the check into my own established account, but I'd wait 10 days or so to touch the funds. This could be an isolated occurrence that won't be repeated. Of course, you should never quit your job until you have another job in hand. Is your resume up-to-date?

 

[Swan4Me]

If it happens again
and I intend to keep this job,

I will have to ask her if she can pay me in cash and just give me the check stub.

If it happens again, i simply can not imagine staying with this job?

 

[EllenFrasier]

Seems like a reasonable policy to me. I would never think that I could walk into a bank I did not even have an account with and they should cash a check for free just because the other person who wrote the check has an account there!

Why not? The account is there - right in front of them on the screen. The teller knew there was enough money to cover the check, no risk to the bank. It was a payroll check. If for some reason the person with the account (my boss) had written a whole bunch of checks that could go through at that exact moment and then there was not enough money to cover my check, the account is with them - they can make her pay it back and any fees as money comes back into the account. They don't have to send the check anywhere like they would another bank. I think it's a money making feature for the bank only. Well, they won't get any more money out of me and I will not open an account with them that's for sure.

I get another paycheck today. I'm going to ask her if she is positive that there is enough money in the account. She's not sick anymore so she should be able to check to be sure. I've worked there for 6 years and this is the first time my paycheck bounced, so I guess I will give her the benefit of the doubt that she did not purposely do this.

 

[DVC-Don]

The bank next to my office and the credit union up the street that I belong to will not any checks if you do not have an account with them even if drawn on one of their accounts.

 

[happygirl]

Why not? The account is there - right in front of them on the screen. The teller knew there was enough money to cover the check, no risk to the bank. It was a payroll check. If for some reason the person with the account (my boss) had written a whole bunch of checks that could go through at that exact moment and then there was not enough money to cover my check, the account is with them - they can make her pay it back and any fees as money comes back into the account. They don't have to send the check anywhere like they would another bank. I think it's a money making feature for the bank only. Well, they won't get any more money out of me and I will not open an account with them that's for sure.

I get another paycheck today. I'm going to ask her if she is positive that there is enough money in the account. She's not sick anymore so she should be able to check to be sure. I've worked there for 6 years and this is the first time my paycheck bounced, so I guess I will give her the benefit of the doubt that she did not purposely do this.

She admitted to doing this before in fact she was shocked the bank didn't cover it since they usually do. I myself wouldn;t accept a check from her AGAIN.

 

[bronwyn]

Most banks now charge a fee to cash a check drawn on them if you are not a customer. Alot of the time, it applies to business checks but not personal checks.

I agree with some previous posts. Does Citizen's have a free checking account or an account with a low fee? If so, I would open up an account with a minimum deposit so I could at least cash my checks. Even paying $5 a month is better than the $7 check cashing fee.

 

[squirrel]

Most banks now charge a fee to cash a check drawn on them if you are not a customer. Alot of the time, it applies to business checks but not personal checks.

I agree with some previous posts. Does Citizen's have a free checking account or an account with a low fee? If so, I would open up an account with a minimum deposit so I could at least cash my checks. Even paying $5 a month is better than the $7 check cashing fee.

That's what I would do. Pay the smaller monthly fee at her bank to have an account there. Then you know when you cash it that there is nothing wrong/ or that you have no money. You said your bank will put a hold on the check.

I hope the bank told you about the fee before they gave you the money. Otherwise I would be very upset and want to talk to the manager.

 

[robsmom]

I hate it when customers give DH checks. He tells them Cash Only and sometimes they still hand him a check. Then the problem is he has to make another trip back to get cash which takes even longer and even more gas... I wish people would LISTEN...

OT I know, but I found this post very interesting. I assume from this that your husband is some sort of contractor/service provider. As a customer, I will never pay cash. I want to have a check to have proof of payment. I would, however, tell you husband this up front if he asked to be paid in cash, as oppossed to just ignoring his request. He could then decide if he still wanted my business. Not trying to give you a hard time, just showing a different perspective.

 

[North of Mouse]

OT I know, but I found this post very interesting. I assume from this that your husband is some sort of contractor/service provider. As a customer, I will never pay cash. I want to have a check to have proof of payment. I would, however, tell you husband this up front if he asked to be paid in cash, as oppossed to just ignoring his request. He could then decide if he still wanted my business. Not trying to give you a hard time, just showing a different perspective.

I also will not pay cash for services rendered. Also, a lot of times, people want cash so they don't have a paper trail and don't report it as income (not talking about you stitchlovestink, but it has happened here).

 

[Bell30012]

Chase's policy on cashing checks varies from state to state, probably due to state laws. In Georgia, Chase charges a $5 fee if you cash a check drawn on Chase and you do not have a Chase account. Any Chase account, even a credit card or home loan will work but without it they have a policy of charging.

My bank is Chase because I like being able to deposit checks from my iPhone. There are people that I write checks to that have told me that the bank charges them to cash them so they deposit in their own banks. I went into my bank to ask about it and they showed me the little sign. They also fingerprint all non-account holders right on the checks.