Is this possible? Cheque bouncing fees???

**Lilybett** · 29-02-2012, 01:53pm

We paid for B's ballet fees with a cheque a month or so ago. Unfortunately the cheque bounced as an unexpected bill came out and once the dance school informed us I immediately gave them the cash so they weren't out of pocket. DH obviously got a charge from the bank for the bounced cheque

but now the dance school have come back to us to say that they have been charged as well and they want an extra £15 to cover the charge. Now I've never heard of the recipient of a bounced cheque being charged as well

so my immediate reaction is to ask for proof for the charge and challenge it but before I reply and go in guns blazing

, is it possible for the dance school to be charged in this instance as well??

**Bop** · 29-02-2012, 02:05pm

I guess it possible as banks do seem to have charges for all sorts nowadays. Do you know which bank it is and can you check it with them?

I don't think that asking for proof is unreasonable in this instance.

Bop

**Fiz** · 29-02-2012, 02:07pm

They can charge business accounts if a cheque bounces, but I'm not sure which (or if all) banks do. Is there anything in the ballet school's terms and conditions about further fees if cheques bounce? I know there was in one group that my DD attended. In her current ballet school, it's a £5 fee if the fees are paid late.

£15 does seem a lot for a bounced cheque, do you know what bank the ballet school uses? I'd have thought it would be about a third of that.

**Fiz** · 29-02-2012, 02:19pm

I've just checked HSBCs charges, £4 if a cheque you pay in is returned unpaid. In which case £15 seems a bit high.

**Abbie** · 29-02-2012, 02:21pm

If it's a business account then they charge.

Lloyds TSB charged me £4 I think when I had a bounced wedding deposit cheque last month

**Lilybett** · 29-02-2012, 02:36pm

Its Santander, varying reports online saying that people haven't been charged and others indicating that it could be steep.

I've asked for written proof of the charge. Probably will piss them off but on top of the fees we have already been charged from our bank it's a pretty considerable chunk of money!

**redhed** · 29-02-2012, 02:42pm

It is possible on a business account, yes. Essentially its an admin charge - receiving the debit which cancels out the cheque costs the bank money so they charge for it. And AFAIK businesses have far less protection re: fees having to be "reasonable" than retail clients. However, if its a lot more than the competition, I think she could try negotiating it down with her account manager.

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**Abbie** · 29-02-2012, 02:50pm

I think I also have the right to add an admin fee to any charges as well so they could have added that to it which has upped it

**Stropypop** · 29-02-2012, 02:51pm

Our pta was charged for a bounced cheque we were given. I think it was around £4 as i remember we were laughing at out treasurer as she made a huge deal of it when we had raised over £2000 so although not good it wasn't a huge deal either.

The ballet school maybe charging an admin fee too, i know ds's nursery used too.

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**Velvet Chain** · 29-02-2012, 03:24pm

Definitely business account can charge for this and most do - we had a similar problem with a cheque that was written to us bouncing....plus I added my fees to the client as it was extra work, quite possibly what the ballet school has done.

**Booh** · 29-02-2012, 05:50pm

Originally Posted by Abbie

I think I also have the right to add an admin fee to any charges as well so they could have added that to it which has upped it

I have this too, my bank have hared me £15 in the past to write and tell me a cheque as bounced, and in my terms and conditions I have written there will be a £25 admin fee charged

**Lilybett** · 29-02-2012, 06:47pm

Nothing like that in the terms and conditions. I didn't sign a contract either

**cheeky_biscuit** · 29-02-2012, 06:51pm

I'm sure I've seen a £30 bouncing charge - is there a charge on both accounts - the person who wrote the cheque and the person who received it?

**Velvet Chain** · 01-03-2012, 08:33am

I think that both parties get charged by their bank(s). I don't think it matters whether or not you signed anything with the ballet place - as the cheque bouncing was not their error, they have the right to reclaim any fees from you.

**Funky Mum** · 01-03-2012, 10:24am

I think it's fair enough that you pay any charges they've incurred for your cheque bouncing, but I also think that they should have shown you evidence of their charges when requesting the extra payment from you, as it would have saved you the awkwardness of asking. I wouldn't pay the extra without written evidence.

**Queenie** · 01-03-2012, 11:34am

I'd suck it up, pay the charge and be more careful in future. Businesses can incur charges for bounced cheques, but there is also the hassle of staff having to take time to sort it all out, faff with accounting etc. And I certainly would hope that I have too much pride to bounce a cheque then whinge about it on a public forum.

**spritzer** · 01-03-2012, 11:59am

Originally Posted by Queenie

I'd suck it up, pay the charge and be more careful in future. Businesses can incur charges for bounced cheques, but there is also the hassle of staff having to take time to sort it all out, faff with accounting etc. And I certainly would hope that I have too much pride to bounce a cheque then whinge about it on a public forum.

That's not a particularly constructive comment. She is not whinging.

**Bettie May** · 01-03-2012, 12:10pm

Funnily enough I bounced a cheque a couple of years back for ballet fees. The dance teacher asked for £4 to cover her charges and gave me a copy of her bank letter showing her charges on her business account. I'd be annoyed if they were making money from you on top of their bank charges but to be honest at the time I was quite embarrassed so would probably not have questioned it.

**Lilybett** · 01-03-2012, 01:27pm

Originally Posted by Queenie

I'd suck it up, pay the charge and be more careful in future. Businesses can incur charges for bounced cheques, but there is also the hassle of staff having to take time to sort it all out, faff with accounting etc. And I certainly would hope that I have too much pride to bounce a cheque then whinge about it on a public forum.

Where have I whinged Queenie? All I've asked is whether it's a realistic charge as it seems very steep. I will without question pay the charge as its not fair for the school to be out of pocket for our mistake but I don't think it's unreasonable to ask for written proof beforehand so I can see what the bank has charged as there is nothing in their terms and conditions about admin charges for this situation.

As for pride, we made a mistake with a cheque, not sure where pride comes into that. I'm not too proud to admit a mistake, even if you are.