Minnesota Bad Check Law
Writing bad checks is a criminal offense in Minnesota. The state has created provisions for bad check issuers that includes financial fees and penalties as well as possible prison time. Minnesota bad check law covers several degrees of bad check transgressions from honest mistakes to serious offenses.
Other People Are Reading
-
Dishonored Check
-
A dishonored or bad check is considered to be a check that was written without any financial backing behind it. If a check is cashed and the bank refuses to honor payment because of insufficient funds, the issuer of the check is held responsible.
Minnesota Law
-
In the state of Minnesota, writing a bad check is considered a criminal offense. According to USLegal, the Minnesota check law can be found in Chapter 322 of the state statues. In addition to a written personal check, a "bad check" check may also be a dishonored bank draft or another form of withdrawal, like an automatic payment or a debit card purchase.
-
Minnesota Penalties
-
There is a step-by-step process that Minnesota takes to penalize those who have written bad checks. Initially a small fee will be charged for the bounced check--normally an insufficient funds fee of $20 or more, depending on your financial institution. According to the Lawdog Center, the payee has a right to file a notice of dishonor. You will then receive up to 30 days to issue payment again and clear the dishonored payment. If the payment is still not made within 30 days, a civil penalty may be imposed by the payee. The initial fee is $100 or the full amount of the dishonored check. The payer must pay the greater of the two amounts.
Third Parties
-
Third-party endorsers may also be held accountable for a bounced check. If a person signs a check over to you, and you cash it or deposit it into your account, you are legally liable for it. If that same check is dishonored, the payee may come after you for full payment and is legally entitled to purse a notice of dishonor and after 30 days, to impose a civil penalty on you for the full amount of the check or $100, whichever is greater.
Warnings
-
Writing bad checks is a criminal offense. Although it only happens occasionally as an oversight for most people, it can become a criminal scheme for others, and the state of Minnesota takes this crime seriously. Time is of the essence. As soon as you notice a check has bounced in your account, contact the payee and the bank to ensure immediate payment so that no further action is taken. According to the website Minnesota Criminal Defense Lawyer, even bad checks of $250 or less can be punishable by 90 days in jail and $1,000 in fines.
-
References
- Photo Credit check book image by Rob Hill from Fotolia.com
