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Ryan.

If you make an agreement with a collection company to pay with post dated checks and the collection company tries to cash the checks before the day you agreed upon what can you do?

Posted: Sat Oct 14, 2006 9:27 am Subject:

I don't think there is much you can do, only hope that they don't do that. I wouldn't trust a collection agency or give them my account info. I would tell them the only way you could pay is by money order. Tell them you don't have a checking account or credit card, then they have no option, except to say to wire it, I would insiste on a money order.

Posted: Sat Oct 14, 2006 9:52 am Subject:

Once you realize about this kind of unauthorized debit, go to your bank and tell them that there has been a fraudulent activity within your account. Explain that you want to file a dispute and you need their assistance on this according to the Federal Regulations E.

Tell your bank the truth. This is believed to be an unauthorized charge if done before the due date. Keep emphasizing on the fact that you never authorized anything. They should help you in getting the charges reversed by the collection agency.

Posted: Sat Oct 14, 2006 8:28 pm Subject:

It is illegal to cash your check even a second before an agreed upon date. You can take legal action. You should recieve a letter 2-3 business days prior to any check posting to your account in their office. Then depending on type of payment ACH or duplicate check it would take anywhere from within 24-48(ACH) hours to 2-3 business days (dup check).

Make sure you know what type of transaction you are agreeing to so you know what is going to pass through your bank because that will also be a record of payment.

Posted: Sat Oct 14, 2006 8:45 pm Subject:

What state are you in Ryan?
If I were you, check with your AG's office about this. Some states have specific laws about post dated checks to CA's...

Posted: Sun Oct 15, 2006 7:53 am Subject:

The only state is MA. No post dated checks can be accepted from this state.

Posted: Sun Oct 15, 2006 8:00 am Subject:

FYI,

What kind of legal action can you take? There was a posting today from another forum member. The lender cashed her post dated check almost two weeks for the date.

Posted: Sun Oct 15, 2006 8:02 am Subject:

I had made arrangments with a local collection agency on an old medical bill of my husband's. I knew they were reputable and I had dealt with them previously. I had them set up an automatic withdrawal from my checking account each month and they always honor the date. Also, they always send a letter about a week before the withdrawal date to remind me. I would be leery about other collection agencies though. Rolling Eyes

Posted: Sun Oct 15, 2006 11:16 am Subject:

I'll have to look at my manuel from work, which is at work. I'm not good at citing things that I haven't commited to memory. But I do know it is illegal. It should be somewhere in the FDCPA but i can't recall exactly where.

They are required to send you notice three - ten business days prior to the posting of your check into their system to remind you to have suficiant funds avaliable incase you forgot.

Jen · Posted: Sun Oct 15, 2006 4:56 pm Subject: Hmmm

This is your banks fault and you should contact them. This is one of the reasons why their is a "date" section on a check. bank personnel are not suppose to cash a check prior to the date printed. Also in the future write your "date" REALLY big on the check. This does seem to help!

Guest · Posted: Sun Oct 15, 2006 7:56 pm Subject:

It's not the bank's fault because the collection agency puts the date on the duplicate check or sends in an ACH payment, which is an electrinic withdraw and has no date attached.