What is a Bad Check Notice?
Use a Bad Check Notice to let a check-writer know that their check hasn't been accepted by the bank, and that they still owe you money. This first notice may suffice and you'll be paid promptly, but if not, you'll have a paper trail to back up your claim. Your Bad Check Notice includes details like: who the check was written to; who wrote and signed the check (also called "the Drawer"); the banking institution the check was written on; the check number, date and amount; why the check was returned unpaid (ex: insufficient funds, payment was stopped, or the account was closed); how and when the returned check, as well as any fees, should be paid; the contact information of the party requesting payment; and more. Depending on your state, there may be additional requirements or limitations on bad check notices, so you'll want to check your local laws.
When to use a Bad Check Notice:
- A check has been returned unpaid and you want to demand payment from the party who signed the check.
A check, dated , drawn by you on of , in the amount of , and payable to has been returned unpaid because of not as drawn. missing.
You Your account You Your account
at the above address I can be contacted by phone at or . My e-mail address is . A fax can be sent to .at the above address We can be contacted by phone at or . Our e-mail address is . A fax can be sent to .
Your prompt attention to this matter is appreciated.
|The California Civil Code Sec. 1719 Notice will print with the finished document if the check was written in California and was not paid because of insufficient funds or because the person stopped payment on the check. If the person does not pay the total amount owed within 30 days, you may be able to sue the person in court and receive the amount of the check plus damages. However, in order for you to sue the person, the following requirements must be met: (a) You sent this Bad Check Notice letter AND the California 1719 Notice by certified mail, (b) the person did not have a good faith reason for stopping payment on the check (if applicable), (c) the nonpayment was not due to a bank error or an unexpected delay in receiving governmental benefits, and (d) you made reasonable efforts to resolve any disputes with the person.
|Re-read the letter to make sure that is is consistent with the California 1719 Notice, including (a) how the check should be replaced (with cash), and (b) when the payment is due (a date which is not more than 30 days beyond the date of the letter).