Bounced Checks: Dealing with Pampered Chef Payments Issues

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Discussion Overview

This thread explores the experiences of Pampered Chef consultants regarding issues with bounced checks and payment collection methods. Participants share their personal practices and the challenges they face in managing payments during cooking shows.

Discussion Character

  • Anecdotal
  • Opinion-based
  • Exploratory

Main Points Raised

  • One participant, identifying as a consultant, mentions having issues with bounced checks and is curious about others' experiences with accepting checks.
  • Another participant shares their experience of only having one returned check due to a bank error over a year of accepting checks.
  • Several participants express a preference for having checks made out to them rather than the host, citing personal responsibility for tracking down bounced checks.
  • One participant notes that their director has always had checks made out to the host, finding it easier for the host to collect payments from friends.
  • Another participant shares a negative experience with a guest who failed to pay, highlighting the emotional impact of such situations.
  • Some participants mention the importance of waiting for checks to clear before submitting orders, while others have submitted orders without waiting, leading to bounced checks.
  • One participant reflects on the preference for smaller checks to manage potential bounced payments more easily.

Areas of Agreement / Disagreement

Views differ on whether checks should be made out to the consultant or the host, with no clear consensus emerging. Some participants prefer checks to be made out to them for personal accountability, while others support the practice of checks being made out to the host for ease of collection.

Contextual Notes

Participants share a range of experiences over varying lengths of time in their consulting careers, with some having faced multiple bounced checks and others reporting minimal issues.

Who May Find This Useful

Consultants seeking to understand different approaches to managing payments and bounced checks may find the shared experiences relevant.

Dianneskitchen
Gold Member
Messages
75
Hi,
I'm not sure if this is the right place to post this, but here goes.
Does anyone have problems with bouncedv checks, and trying to collect them? I have been doing PC for 3 1/2 years and just lately, I have had a few problems with checks and was wondering if anyone does not accept checks, or has them made out to the hostess.
 
I accept checks and in a little over a year have only had 1 returned check and it was (honestly) the banks error.

If you stop accepting checks (if it is even allowed for you to do so), you could lose business.

Check with your local District Attorney regarding their worthless check unit.
 
Dianneskitchen said:
Hi,
I'm not sure if this is the right place to post this, but here goes.
Does anyone have problems with bouncedv checks, and trying to collect them? I have been doing PC for 3 1/2 years and just lately, I have had a few problems with checks and was wondering if anyone does not accept checks, or has them made out to the hostess.
I do accept checks, and I usually have them write them out to me... but i was thinking if i have them all written out to the host then if it is a problem then she is responsible for it.... hmmm. I do accept checks and haven't had any trouble:thumbup:
 
I have always had everyone write checks out to the host. My director has been doing it this way for awhile and has never had a problem. I find it so much easier to deal with 1 check. My director's logic is that it will be a lot easier for the host to collect money from a friend than a me trying to collect from a stranger.
 
I have the checks made out to me. I figure that if a check does bouce it should be me that tracks it down since it's my business. I also don't want to make it an uncomfortable situation for the hostess to have to collect from her friends.
 
chefpenny99 said:
I have the checks made out to me. I figure that if a check does bouce it should be me that tracks it down since it's my business. I also don't want to make it an uncomfortable situation for the hostess to have to collect from her friends.


I do exactly the same thing. I have had only one bad check in the last year and she's the one who called me! She ended up giving me cash to pay for the order plus the money for the change the bank gave me.

My director has always had people make it out to the host though. I can totally see that being easier. People are a lot less likely to make a bad check out to a friend or someone they know. Plus, if it was bad, she can hold on to the products until they pay up otherwise, return them for a refund.
 
In almost 5 years in biz I've had approx. 12 checks (380 shows) bounce. All but one the person was totally freaked out and ready to pay me asap. I always included the bounced check charge ($5.00 at my bank) and never had any trouble.

I have the checks made to me: in my area, that is completely the norm and I feel I would lose bookings if I changed to having checks written to the host.

Another thing: I would much rather only have smaller checks to worry about collecting on than a huge party check from 1 host. I can cover a single check while waiting to collect....but if a full show bounced, I'd be in big trouble.
 
bethsbiz said:
Another thing: I would much rather only have smaller checks to worry about collecting on than a huge party check from 1 host. I can cover a single check while waiting to collect....but if a full show bounced, I'd be in big trouble.
You do wait for them to clear before you submit the show, don't you? I tell the guests at my show, and the host when I close, that I wait for checks to clear before the order goes in.

That said, I have submitted shows without waiting for them to clear - usually to make an incentive (like Sell a Thon). And it never fails, if there's a rubber check, that's the show it's on. :rolleyes:
 
I always accept checks! I have yet to have any problems though. I have people write their checks to me , not to the host, I guess because I would rather something happen with a small check instead of a big one from a hostess and then can't collect on it.
 
In over 5 years I have had about a half dozen checks not clear and all paid me immediately without a problem.

I do not hold the show for the check to clear (one of the bounced checks took well over a week to get back to me) but I do insist that I have payment before sending the show in. The checks are made out to me. My reasoning is that the host has to get it in her bank and the checks have to clear there and then her check to me would have to clear - bigger chance of my check from her not making it. It is also a service to my hosts - they don't have to get to the bank and do the followup if needed.

I also have the show shipped to me whenever I can (especially if I think there might be a problem) which gives me that much more time to know the checks are good.
 
  • Thread starter
  • #11
Thanks for all your input. I have only had a few returned in the 3 1/2 years that I have been doing this and up until the last couple of months, never had a problem collecting them. I just had a real bad experience with a guest that had also been a past hostess. This person that owes the check was very rude, and she said she was calling her friends that had attended her party, and tell them not to do business with me, because I was unprofessional because I called her and left several messages (unanswered)
at her home. She doesn't get the fact that she has had the products since May, but I have not received payment for them. She said she was calling Pampered Chef to make a complaint about me because of this.
The whole thing upset me a lot because I have never had a problem with a host or guest. I called HO and told them the story, and they assured me that I had done nothing wrong, but it was still upsetting. I will probably keep doing business the same way I always have. It took a week and a half for this check to be returned and I don't like to hold shows that long.
Sorry this is so long.
 
I have the checks made out to me. When I first started, I had everyone write them to the host (that's what we did back in the day!) until I had a host use the money to pay her rent. It was horrible. I had to call all of the guests and explain but she had gotten to them first and told them I had stolen the money. It was awful. Plus, I'd rather have a $30 check bounce than a $700 check! UGH!
 
I have them write them to me. I started having them written to the host and I know that that is what my director does but I want to be the only one responsible for the money.
 
I agree with Colleen. I have them write their checks to me for a few reasons:

1. PC is my job..not my hosts (I am NOT digging on you if you have the checks written to the host, this is just MY feelings...) so I don't want her to have to take a trip to the bank in order to write me a check. (Also- I have a Deposit Only stamp with my account number on it...so easy just to stamp all of the checks- your host would have to SIGN EACH OF THEM!)

2. If a check is gonna bounce, I want it to be a SMALL amount of $$...not the entire show!

3. In almost 4 years, I have only had two checks bounce. One paid it (and the bank fee...with apologies) and the other flaked on me, but I have her products and I will use them as giveaways...tax deduction! (I could have sent them back, but she ACTED like she was gonna pay me so I missed the 30 day window, and it's not a big enough order for it to be worth me paying to send them back to PC for my $$ back!)

I just want hosting to look as easy as possible!
 
ChecksIf I know the host really well and the guests they write the checks to me.

If I don't know them very well, they write their checks to the host and she writes me a big check. I have never had a problem with this and the host totally understands the procedure.

I had one host tell me "So this is to save you from having to chase down one of my cheap relatives for payment??"

My reply "EXACTLY!!" LOL

Debbie :D
 

Frequently Asked Questions

What should I do if I receive a bounced check from a customer?

If you receive a bounced check, the first step is to contact the customer to inform them of the issue. Politely explain that the check did not clear and discuss alternative payment methods. You may also want to consider setting a deadline for the customer to resolve the payment issue.

Can I charge a fee for a bounced check?

How can I prevent bounced checks in my Pampered Chef business?

To prevent bounced checks, consider accepting only cash or electronic payments, which are less likely to bounce. If you do accept checks, you might want to verify the customer's identification and check their account status if possible. Additionally, setting clear payment terms can help minimize issues.

What should I do if a customer refuses to pay after a check bounces?

If a customer refuses to pay after their check bounces, document all communications and consider sending a formal notice requesting payment. If the situation does not resolve, you may need to explore legal options or consult a collections agency, depending on the amount owed and your business policies.

Can I report a bounced check to a credit bureau?

Yes, you can report a bounced check to a credit bureau, but this typically applies to larger amounts and requires that you follow specific legal procedures. It's advisable to consult with a legal professional to ensure compliance with laws regarding credit reporting and collections.

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