Bounced Cheque advice - EW Motors

catmiaow

Hello,

Basically this is on behalf of my mum, nothing but problems with them, I did advise her not go sell the car with them as they always appeared unprofessional to me. She listened to my step dad and sold it to them.

Now they paid her finance company a week late so she had to make a finance payment to them for that, which she is supposed to get back(finance is through them as she got the car through them in the first place)

Then she got her cheque for the rest which was over 3k, not sure of exact amount which is banked and was told today that the cheque bounced! You wouldn't expect this from a big company like them, anyway when she phoned she was told person who signs cheques isnt in until monday! Problem is she sent the form to change names on the car already!

Now she has recently had a stroke which she is recovering from, I know thats not their fault but they are causing her stress and upset which she doesn't need and I am furious about it!

My questions are: If the next cheque bounces what happens? Where do we go from here? Can we demand cash or bank transfer?

Thanks in advance

rach29

A lot will depend on the "reason" it bounced. It may be "funds not cleared" in which case the bank will pay the cheque back in on your Mum's behalf & then, hopefully, it will clear second time around. If it's "payment stopped" or "refer to drawer" then she will need a new cheque. If this is the case I would ask the company to make a bank transfer insead of a cheque to ensure the money clears. If still no luck it may be a trip to the small claims court I'm afraid.

The up-side is that by issuing a cheque they have effectively admitted they owe her the money so it shouldn't be difficult for a court to rule in her favour.
Good Luck, please update us with the outcome.

dacouch

They are going to love you...

http://www.google.co.uk/#hl=en&q=ew+motors&meta=cr%3DcountryUK|countryGB&fp=d201e90ebf28d963

lol

Laz123

Writing out a bouncer is fraud http://www.theanswerbank.co.uk/thread/?ctgalias=Law/Civil&question_id=621191

geordie_joe

Laz123 wrote: »

Writing out a bouncer is fraud http://www.theanswerbank.co.uk/thread/?ctgalias=Law/Civil&question_id=621191

Only if you know it will bounce before you write it.

Laz123

geordie_joe wrote: »

Only if you know it will bounce before you write it.

And how do they prove they were unaware there were sufficient funds to cover the cheque?

geordie_joe

Laz123 wrote: »

And how do they prove they were unaware there were sufficient funds to cover the cheque?

They don't have to, they are presumed to be innocent until proven guilty.

The good thing about the British Legal System is that if you get accused of something, the accuser has to prove you are guilty, you don't have to prove you are innocent as that is presumed from the start.

Laz123

geordie_joe wrote: »

They don't have to, they are presumed to be innocent until proven guilty.

The good thing about the British Legal System is that if you get accused of something, the accuser has to prove you are guilty, you don't have to prove you are innocent as that is presumed from the start.

So, all the OP has to find out is were there sufficient funds in the account when the cheque was written out (3 days prior to clearance).

rach29

Not necessarily, the company could argue that they could reasonably have expected funds to be available. For instance a client may have "promised" to pay a large amount by CHAPS and then not done so. It happens a lot, especially in tough times such as we are currently experiencing.

OP did you find out the reason for the bounced cheque?

catmiaow

Hello,

Yes I was told my the accountant that they wrote the cheque to my mother the same day that they received the cheque from the people who brought it. (obviously they took a lot of profit from the sale) They said that the cheque obviously didn't clear in time to cover the cheque they wrote my mum. Quite worrying really as a big company like that should have the funds, well you would think!

geordie_joe

Laz123 wrote: »

So, all the OP has to find out is were there sufficient funds in the account when the cheque was written out (3 days prior to clearance).

I think he/she would have to find this out, and if there were not sufficient funds then did the cheque writer know this.

It's the writer knowing there wasn't sufficient fund to cover the cheque that is the illegal part, not the fact that there wasn't sufficient funds.