If someone writes me a check, and I try to cash it and it bounces, what happens?

Question

If someone writes me a check, and I try to cash it and it bounces, what happens to me? Fees? Penalties?

I'll be getting a check from a source I only trust about 98%, and there's a slight worry that the check will not be good. There is nothing to indicate that could be the case, but I still worry. I'd hate to be out my money, so I'd really like to cash the check, but I first need to know what will happen if it's no good. If there are fees, how much are they? The check is only for about $20, so if the fees are $100, it's not worth the risk.

Also, will there still be penalties if I cash it at a place like Wal-Mart (I know they charge you a small fee for cashing it there), rather than my bank?

Please tell me everything that happens when you cash a check and it bounces. Thank you in advance.

Answer 1

If you cash it at your bank and it bounces you will be charged a fee. What that fee is depends on the bank.

Your best bet is to take the check to the bank at which it was written. They can tell if you if there is enough money in the account to cover the check then cash it for you if there is.

Answer 2

First thing you need to do is only take CASH!  Second thing is don't take checks you don't think will clear.  If they have the money to write a check, they can take said money out of bank and pay you in green.

Answer 3

I received a $25 check one time that bounced. I was charged a $5 fee by my bank, plus I didn't get the $25.

I contacted the person who gave me the check. It turns out it was a simple mistake, he had grabbed the wrong check book for an old account that had been closed. He willingly wrote me another check for $30 to cover the original $25 plus the fee that my bank had charged. (yes the check cleared, I had been mowing lawns for the person for 2 years and they wrote me a valid check every time, the bounced check was a one-time mistake).

Answer 4

Fees will be charged by your bank, and usually by the place you cash the check as well (if you cash it someplace else instead of your bank - you will be assessed 'double' penalty fees).  

The amount of the fees will vary, depending on your bank and the place where you cash the check - these fees are usually posted, but you can always ask as well.  The fees will usually be directly drawn from your accounts, leaving you out the amount of the check plus whatever fees are assessed for cashing a bad check.