NSF check to collection agency

[endee]

I caved to the collection agency and gave them my bank account info over the phone and post dated a check. I told them there was only like a 20 % chance of actually having the money in the account when the check date was due. I know now how dumb this was. So I wasn't able to get the money in time and didn't cancel the agreement in time and got the bounced check. My questions are: are there any legal ramifications? Would this situation not be covered in a Ch 7 bankruptcy? The way I see it is they are no worse off after the bounced check than before. I didn't receive anything from them. It's not like I bought a TV with a bad check. Please correct my thinking if it is flawed. Any help you guys can give me would be great. Thanks.

[rjmwx81]

It depends on what the bank does with the check. If they pay it, using overdraft protection, and make your account negative, you would list the bank as a creditor, since you now owe them money. If you didn't have overdraft protection and the bank actually bounced the check, it gets more complicated.

[Freddy03]

I would be very careful giving creditor your checking account info. They are known for taking out more than what was agreed. If it was just recently returned, they might try to run it thru again.

[drowning123]

Also, if they garnish your account, they have all your bank info, unless they already had all your bank info. I know, I know. You know you made a bad decision. It's OK. You can recover.

[endee]

I didn't have overdraft protection. I've never bounced a check before this so I'm admittedly ignorant on the subject. I liken this situation to if I had accidentally written a check to the wrong person(I know not a very realistic scenario) and it bounces. I didn't receive anything from this person so there was no reason for this person to receive any money from me. I guess I have to realize that a check is a legal financial instrument. Does the fact that it was post-dated make any difference?
Thanks in advance.

[ccsjoe]

The fact that it was post dated makes no difference because post dating a check is in itself illegal. You can write me a check dated for December and I can walk into your bank tomorrow and cash it.

[tobee43]

I caved to the collection agency and gave them my bank account info over the phone and post dated a check. I told them there was only like a 20 % chance of actually having the money in the account when the check date was due. I know now how dumb this was. So I wasn't able to get the money in time and didn't cancel the agreement in time and got the bounced check. My questions are: are there any legal ramifications? Would this situation not be covered in a Ch 7 bankruptcy? The way I see it is they are no worse off after the bounced check than before. I didn't receive anything from them. It's not like I bought a TV with a bad check. Please correct my thinking if it is flawed. Any help you guys can give me would be great. Thanks.

i would call the bank and tell them to make certain and stop payment on the check so the agency does not keep attempting to deposit it.

please.....i know it's really difficult because of the pressure...but don't do this...these people are crazies...and now they have your bank account number. i would close the account and re-open another account. really.

these people can at least attempt depositing the check 3 times...then start charging you fees besides the banks fees. call the bank and best of luck to you.

[rjmwx81]

You might have a problem, then. In some states, actually bouncing a check (as opposed to just overdrawing your account) is considered a crime instead of a civil matter. The fact that you didn't receive anything in return for the check doesn't matter.

Now, what will happen as a result of this? Hard to say. Depends on your state, depends on the collection agency, depends on the amount of the check. Many businesses just turn bad checks over to a collection agency and don't worry about the criminal court aspect of it. But the fact that the business involved is a collection agency means they might be more likely to be aggressive in dealing with you.

Now, if they do pursue a criminal case, it's not as if they're going to toss you in jail and throw away the key. Most likely you'd be looking at fines, and you could be liable for paying up to 3 times the amount of the check. I have no idea whether such a fine could be discharged in bankruptcy but my guess would be no.

Either way, it's time to start talking to an attorney, unless you can make good on the check within the next couple of days.

[DebtHater]

I agree with tobee. Close that account immediately and NEVER give out your new account info!

[Nicollette]

I agree with tobee. Close that account immediately and NEVER give out your new account info!

When I first filed my BK, the account that all the collection agencies had my info to, was overdrawn a very large amount because they just kept trying to withdraw money from it via ACH debits. I just included that overdrawn account in my BK. I've since, opened a new account at a different bank, and I never give my new account info to anyone unless I'm paying a bill such as utilities.