Home > Faculty & Staff > Policies & Procedures > Policy 3.2.7
Policy 3.2.7
Policy 3.2.7
Policy and Procedures Manual
Classification Number: 3.2.7
Reviewed: August 14, 2017
SUBJECT: RETURNED CHECKS
Procedures for checks received from a student or other individuals (payer) doing business with the university, which are returned by their bank because of insufficient funds are as follows:
First time a check is returned- The first time a check is returned it will be immediately re-deposited unless a stop payment has been ordered or the account closed. A $20 service fee will be charged for the first return. If the check relates to an external campus, the campus staff will be informed and instructed to notify the payer that the check was returned and re-deposited, and advise them of the $20 service fee.
Second time a check is returned - The second time a check is returned it will be held for one week and then re-deposited. A $20 service fee will be posted to the account and billed. If the check relates to an external campus, the campus staff will be informed and instructed to notify the payer that the check was returned and advise them of the $20 fee.
After the second return, where permitted, a check will be re-deposited until the bank no longer accepts it. A $20 service fee will be posted to the account and billed for each redeposit. Again, if the check relates to an external campus, the campus staff will be informed and instructed to notify the payer that the check was returned and advise them of the $20 fee.
Check is refused at the bank - If the check is refused at the bank, the payer is notified and given 10 days to claim the check with cash, money order, cashiers check, or approved authorized credit card. If the check is not claimed, it will be sent for collections. The face value of the check will be posted to the account with the final $20 service fee. The collection agency utilized may charge the payer $20 or a percentage of the face value of the check as a collection fee. Upon collection, the face value of the check will be sent to the university.
Contact for Interpretation: Chief Financial Officer
This policy statement supersedes all previous policy statements on this subject.
Revisions:
- 08/14/2017 - Reviewed
- 03/21/2007 - Reviewed
- 08/15/2006 - Revision
- 08/15/2004 - Revision
- 05/15/2004 - Revision
- 09/15/2001 - Reissued as 3.2.7
- 09/15/2001 - Revision-position change
- 09/15/2001 - Reviewed
- 02/23/1994 - Inception as policy 3.1.4
听
