What Should I Do About a Returned Check from a Fundraiser?

[lisasfuncooking]

I had done a fundraiser for my best friend, for her daughter to go on an educational trip this summer. I paid for the food and gave 10% of my commission. Normally, I would NOT do this. But she has always been there for me and I wanted to do something for her. I didn't plan on making any $ off of it. Just hoping for a booking or two. Anyway after her party her co-worker/friend wanted to book a party. But then asked if she could make it into a fundraiser for my friends daughter too and do the same.
So I figured it would only help to get bookings.

The second fundraiser had an outside order from her sister (past consultant) with the check made out to PC. Really, a past consultant didn't know this! But her mother was there and paid for the 2 orders with her check and said she would return the check to her daughter and get the $ from her. Meanwhile, I was waiting on a check of $40 to submit the show. So I just paid for it because she said the check is in the mail. The order was delivered but no $40. I let the host know that and not to give her the order until she gets the $. She was fine with that. THEN over 1 week later, I get a notice from my bank that the mothers check was returned and they credited my account. :cry:
I called the mother and she said, "Oh yes, I noticed that it was returned" I told her how much the return check charge was and she said she would get it right out. It has now been over a week. And still the host still did not get the $40. I did deposit the checks a few days after the show and submitted the show soon after. I guess I am partially responsible for all this. I was just trying to help. Now because of the check fee that was charged to my account, one of my bills did not go through, so needless to say, I am out a lot of $$$. So from going to not making any $ to losing $ really stinks.
The problem is the woman lives far and not worth my driving 1 hour to try to get the $. Left a message for her, what else should I do? Also, I was just thinking of telling the host to give my the products back from the $40 order. Is it wrong to let them know I am aggravated? Or just keep the "I am happy to help attitude"
I have NEVER had a return check or an outstanding payment from an order that I submitted. Figures, the one time I do both, this happens.

Sorry for rambling and ranting... just frustrated.:yuck:

 

[pampchefsarah]

First of all, I strongly suggest you open a separate account for your business. This way, you don't have to worry about bills not being paid if checks bounce. The money you deposited belongs to PC, not you, anyway (I know you weren't using the PC money to pay the bill, and that it was because of the NSF fee you had problems).You need to contact the guest who has not paid the $40.00 directly. Have the host give you the product, and tell the guest she will receive the product when the check has been received and cleared the bank (you can also ask for a money order). Because you paid for the product, it belongs to you until someone buys it from you - preferably the person who placed the order, but you can sell it to anyone.The same goes to the Mom & Daughter team. Tell them you expect payment in full, including NSF fees, or the product returned to you. Give everyone a deadline - and let Mom & Daughter know if the deadline is not met one way or another, legal action will be taken, just like any other business would do.

 

[ChefKelebel]

I absolutely agree with PCSarah, and furthermore, you are NOT to blame for someone else's BAD DEBT, if anything, lesson learned.

Sorry this happened to you, I've had it happen and it's really frustrating!!

 

[Bren706]

Sorry this has happened to you. Last year I had someone write a bad check for $80! She too lived about 45 minutes away. She said she would replace it, etc. but never did. After trying to contact her numerous times with no success, I sent her a certified letter that payment had to be made within 15 days or else I would take legal action. When I got no response, I went to the court system and placed a complaint (can't remember what the actual legal term is) by filling out paperwork, etc. 6-7 months later, I received a check from the court for the $80 plus the $25 processing fee that I had added .

 

[lisasfuncooking]

Wow- Brenda! I thought I was mad. I am going to get information as to what I can legally do if someone has a returned check. Besides the bank charge, if it is over 30 days, what about interest? I know that my husbands service buss, if the invoice is not paid in 30 days the computer automatically adds interest. If I don't hear from her by Monday, I will send her a certified letter.

 

[Bren706]

According to the court papers the maximum charge over the amount of the check could only be $25.00. It may differ in your area.

 

[cheflorraine]

So sorry this has happened to you!!
Unfortunately you don't usually know in advance that a check will bounce, but if I have any doubts, or money is outstanding, I prefer to have the show delivered to my own address.
I just recently did a catalog show where someone ordered $119 worth of products but asked if the check could be postdated. I needed to get the show submitted (for June SAT), so I said ok, but I'd need to have it delivered to me. Good thing I did, because that postdated check did bounce, but I still had the products, so I arranged to meet with the customer and drop off the products in exchange for cash (amount of the check plus my bank's service fee). It meant an extra drive for me, but the customer did have the cash in hand to give me when I dropped off the order.
Good thing this doesn't happen often... it's not fun!
Where are the products for these customers? Still with the host, or have they been delivered to the customers already?? If not delivered yet, I would try as hard as I could to get them back so that you still have the option of sending them back to HO within the 30-day free shipping time limit, and having your money refunded.