This has been my experience in some states :
1. present check to bank
2. recieve bad check, ( keep envelope, make copy both sides of check ), possibly notify customer ( but not required )
3. re-present check to bank ( in-person, they will stamp it and return if no good ) Make second set of copies ( both sides )
4. notify customer in writing ( second biling ), including warning of bad check
5. send invoice/statement of account 30/60/90 days from date of first legal document. ( if they signed the paper work on completion of work, that is the day the 30/60/90 day calender begins ) ( if not, it will be the post-marked envelope from the bank in 2. ) Keep a copy of invoice ( notirized, if poss. ) Send the invoice/statements Return Receipt Requested .
6. keep any Return Receipts / returned mail from the customer's address.
7. If you are still unsuccessfull at the end of 90 calender days, procede directly to DA, Small Claims , Local Magistrate / and even in some states simply the State Patrol / County Sherriff . ( check your local law to determine proper authority ) ( In the Commonwealth of Pennsylvania, for example, with those documents I described, they will procede to arrest the individual ) even without court. [ Learn the local laws ]
8. In almost all cases, if you have followed this procedure, and acquired the legal documents necessary by providing a paper trail, you have already argued and won your case. ( In other words, you have done the DA's work for him ), and he will carry out the remaining extent of the law.
9. Collecting is a whole nother ball game.
It is extremely difficult to trust customers nowadays.I was brought up where a handshake was good enough. Boy, was I burned. Majority of citizens today are over extended, and living way past thier means. I have actually overheard people bragging to thier friends about some of these tricks they play ( cancelling checks just about tops the list ), to get stuff for nothing.
I am small time , but have non-payment losses over 1/4 M. Most of that occurred in under the last 5 years. Let's start a club. We can get together over some Steak/Lobster and exchange war stories. You can even join at minus 100K. How about a little cheeze with that whine ???
