Cheque returned as Stopped

cooky44

Hi

Happy New year to all, sorry if this is in the wrong place but do not know anywhere else to put this.

I was booked to do some work on New Years Eve and had agreed prices, etc. It was cancelled with less than 4 weeks to go and it was agreed that half the amount would be paid. I paid this cheque into my account but have recieved a letter today that the cheque had been stopped and I had been charged 15.00 for this.

I have not spoken to the people concerned yet but would like to know if there is anything I can do about this cheque before I speak to them.

Many Thanks

Cooky

LittleVoice

Was the cheque for the full amount or for the 50%?

There is nothing I know of that you can do about the cheque until you have spoken to the people who gave it to you.

cooky44

The cheque was for 50% - a cancellation fee.
I wanted some advice before I contacted them before they can make exscuses and to have some leverage with how the actual law stands
Thanks
Cooky

McKneff

Do you have everything in writing re the cancellation fee.

How much was the cheque for

cooky44

Have PMed you Mr McKneff

Thanks


Cooky

PNPSUKNET

If it had a chq guarantee card on the back it is ilegal to stop, however you can take them to small claims

rach29

How much are we talking about? If they refuse to pay you could take them to the Small Claims court (I would on principle)

By writing the cheque they have acknowledged the debt to you, as such, so I think they'd have a hard time explaining why they would write you a cheque & then stop it.

However, it could be an honest mistake. I'd contact them in writing (keeping a copy) and ask for payment giving them 14 days to pay in full including your £15 costs. If no joy then go the Small Claims route.

TheEffect

It could be that they have had their cheque book lost/stolen and have cancelled the book, and your cheque hadn't cleared by the time the book had been reported lost/stolen.

Contact them and ask why the cheque had been stopped. It may be a simple mistake.

hippey

PNPSUKNET wrote: »

If it had a chq guarantee card on the back it is ilegal to stop, however you can take them to small claims

Whether or not it has a g'tee number on the back it could be an offence which falls within the Cheques Act. The G'tee number mearly acts as a guarantee to the payee that the cheque will be paid subject to the terms of the guarantee. The legallity is totally seperate.

On principle I agree, get filling those small claims forms in and ensure you add on all the fees and costs you have incurred, but give the person a call first it may well be an honest mistake.