posted on October 13, 2004 02:00:14 PM new
Hello to all, I need some input from those of you who accept personal checks. Since Pay Pal went nuts I have been giving some thought to other forms of payment. Found several that I can not afford upfront and several that seem to have more negatives than positives. Then I thought about accepting Personal Checks. those of you that accept them, how much trouble have you had with bad checks? What information do you request with the check, if any. Please help with any info that you have.
Thanks in advance,
Kevin
posted on October 13, 2004 02:06:22 PM new
I have always taken checks, since 1999, and have had only one to bounce and they did make good on it. I always state that I hold the item 8 days after receiving payment to make sure the check clears but if the amount is under $25.00 I go ahead and send it if they have good FB.
If you are a somewhat big seller and have many (over 15) packages/payments per day it would be hectic I suppose to keep up with personal checks. It might depend on what type items you sell too. I'm sure some will have some bad experiences to tell you about.
[ edited by paws4God on Oct 13, 2004 02:06 PM ]
posted on October 13, 2004 02:15:19 PM new
I accepted checks for 3 years with no problems. Then in 1 month I had 2 bad checks 1 for over $400.00 and 1 for $650.00
The 1 for $400.00 I collected on after about 2 weeks. The 1 for $650.00 I have never collected on. This check was returned to my account 28 days after I deposited it so forget about holding checks for 7 or 10 days to clear.
That was 3 years ago and I have not accepted a check since. I have had no complaints. Most of my buyers pay with PayPal and the ones that don't send money orders. It is so easy to buy money orders (stores, gas stations, mailman)now days I do not see why it would be a problem for anyone.
posted on October 13, 2004 02:17:45 PM new
I take personal checks. I also signed up with checkfree.com. They can pay from their checking account. The fees are pretty decent and beats the heck out of paypal. I'm thinking about accepting checkfree only for check payment. That way if the check's no good, I'm not stuck with a bad check fee on my checking account.
Cheryl
. . .if you still try to defend the infamies and horrors perpetrated by that Antichrist- I really believe he is Antichrist- I will have nothing more to do with you and you are no longer my friend.. . - War and Peace, Tolstoy
posted on October 13, 2004 02:51:09 PM new
I suppose I should knock on wood. . . . In about a thousand sales, I've had only one check bounce--and she was so horrified that when she wrote another one she added a dollar!
At first, 4 or so years ago, I held them for 10 days and then decided to just take a chance. Now I ship within 24 hours of getting the check. I've held only 3 checks since then, all over $100. No problems. HOWEVER, if I sold primarily to young men, I might change my tune. They're pretty awful, as a group, about getting back to the seller, paying on time, etc.
I'm sure it depends on what you sell and how high the amounts are. My sales are between $5 and $100, usually at the lower end of that scale, so I don't have a lot to lose.
-------------------------------
Andy Rooney on Fabric Softeners:
> My wife uses fabric softener. I never knew what that stuff was for.Then
> I noticed women coming up to me, sniffing, then saying under their
> breath, "Married!" and walking away. Fabric softeners are how our wives
> mark their territory. We can take off the ring. But, it's hard to get
> that April Fresh scent out of your clothes.
posted on October 13, 2004 02:59:53 PM new
More questions. What type of TOS do you use for checks?? Can you charge a NSF fee like I do in my B&M store? The bank charges me $2 for running a bad check through, as if I knew it was a bad check to begin with.
Kevin
posted on October 13, 2004 03:44:33 PM new
I used to, but was burned on 2 occasions for good sums. Secondly, I don't want to sit on sold goods as I live in a mobil home & have limited storage space. I wish all of my buyers would P/P. I had 3 IPN's yesterday, all were shipped yesterday. My buyers are happy for the quick turnaroud & I am happy to get paid so fast. The total was $175.00.
Life Is Too Short To Drink Bad Wine
[ edited by sanmar on Oct 13, 2004 03:48 PM ]
posted on October 13, 2004 04:09:30 PM new
There is a new law that will change the way checks are handled through the bank.
In the next few weeks, consumers will start receiving notices from banks and other financial institutions about changes to their checking accounts.
And most bank customers will learn that the checks they write may clear their accounts more quickly than in the past. This reduction in "float" means consumers risk an overdraft penalty if they try to write checks at the grocery or pharmacy on a Wednesday in hopes they won't clear until their paychecks are deposited on Friday.
The changes are results of the Oct. 28 implementation of the Check Clearing for the 21st Century Act, better known as Check 21. It's aimed at having banks clear checks electronically instead of sending paper checks around the country to settle accounts.
posted on October 13, 2004 04:25:33 PM new
I have always taken personal checks. No reason not to. There is risk in any payment method you accept. Forged or stolen money orders, counterfeit cashiers checks, stolen credit cards, even cash isn't 100% safe. You would be surprised at the number of counterfeit $20.00 bills vendors get stuck with at the local flea markets in our area. I won't even get into the nightmares some Paypal users have suffered through. At least with a personal check, you have some measure of leverage if one bounces. Most bounced checks are due to carelessness and are usually made good on request. There are a few deadbeats that hang paper, but at least there are laws, both civil and criminal, that attempt to protect the recipient. I personally would trust a personal check from a stranger more than I would a Paypal payment. As far as running a check through a second time, you can simply state that your bank won't allow it, and that it needs to be replaced with a money order. I've only had 2 bounced checks in 6 years on Ebay, and this explanation worked both times. To date, I have not lost a single dime on bad checks on Ebay. (knock on wood)
A $75.00 solid state device will always blow first to protect a 25 cent fuse ~ Murphy's Law
posted on October 13, 2004 04:31:51 PM new
Hi Kevin,
I'll throw in my two cents also. I have accepted personal checks since Feb. of 1999. I have had only 1 bounced check and they sent me cash and paid for my bank charges. In my TOS, I state that if a bidder has low feedback under 50, then there will be a 7 day processing time. I generally just review their feedback, then decide it I should deposit or send it. In my invoice, I also state that I accept Cash(well hidden from prying eyes). I have noticed while shopping on Ebay that there are sellers listing cash as a form of payment as well. I thought that that was taboo on Ebay. Does anyone know about that little tidbit? I stopped accepting Paypal, and don't regret it for a moment. I occasionally have a customer grunt about it but I just ignore them.
Thanks Cheryl for the lead on Checkfree.com, I'll look into that as well. but in light of what occurred over the weekend, I am not sure that any Internet money site if safe. Except Bidpay. thanks Rosanne
posted on October 13, 2004 05:06:05 PM new
I've always accepted checks (6 years now), and have never had one bounce. I used to hold off shipping for 7 days after depositing a check, but haven't done that in a couple of years now--I just ship the item out when I receive payment.
____________________
"Bad temper is its own scourge. Few things are more bitter than to feel bitter. A man's venom poisons himself more than his victim." --Charles Buxton
posted on October 13, 2004 05:12:05 PM new
5 years and thousands of PC's. I've never been stuck with a bad one. I still hold merchandise at least 7 days---don't know why.
As was mentioned earlier in this thread, your risk is in proportion to who your buyer base is. I've had slow or no payers when I sell kiddy stuff, so I no longer sell it.
posted on October 13, 2004 07:46:44 PM new
I take personal checks.
My decision on whether or not to hold for clearance is based on the check itself. Low number, no pre-printed information, etc.
The only time I held one for clearance it was one of those from a brand new account. The buyer was in Southern California, the check was drawn on a bank in New York, no pre-printed name, etc. It was for close to $100.
It cleared.
I don't wait to ship when I'm paid by check. The buyer has already waited long enough for payment to reach me. No need to make them wait even longer.
posted on October 14, 2004 01:35:39 PM new
I have taken personal checks since I started on Ebay. I have had two bad checks. One was from a Canadian, drawn on an American bank. I was very new and couldn't contact him - so I just let it go - under $10. I had held this merchandise one for about 2 weeks also.
The other one got forwarded to me while we were travelling in the RV and I 'put it up' and can't find it. It was under $10.00.
I hold any merchandise for a check over $50.00.
Also, my local bank told me if you would get the phone number of the bank, the account number, etc. call the bank and inquire if the particular check has cleared, they would tell you. I always did that. I only had one bank that would not give me the information, but she did tell me that this particular account 'had more than sufficient funds to cover a check of that amount'.
A low number on a check doesn't signal a lot any more. So many people get checkbooks, but use ATM cards or pay on line. In fact, some people don't even get checks for their accounts.
We have had an account for 35 years in the town where we once lived and are still on our first checkbook.
My suggestions, take checks if you can be comfortable with it. As has been pointed out, it probably is no more hassle than any other form.
posted on October 14, 2004 02:07:05 PM new
I sell books, generally first editions that sell for under 60.00. I always ship without waiting for checks to clear and have never had one bounce.
posted on October 14, 2004 04:23:33 PM new
I want to thank everyone for your input!! I have decided to take personal checks full time, not just when Pay Pal goes nuts. I have also started the mammoth undertaking of updating 200 store items. I must be insane!!! Oh well. Just goes to show that there is a world of difference between a B&M store and ebay. (And my friends ask what I do with all my spare time since I "only" sell on line.)
Kevin (who now needs a direct importer from Central America for all the coffee he is going to need!)
posted on October 15, 2004 08:15:48 AM newAbsolutely NOT! Not so much because of issues of a "bouncing check," but checks take too long to process, keep up with which has cleared when, and create a “keep up list,” that we just don’t have time to handle. Also, checks are definitely not as secure for the buyer, and there is actually no recourse, as there is via credit cards.
I am a SELLER only, but for buyers who use checks and Money Orders, it is MUCH riskier than credit cards, as with credit cards you have recourse through the CC Company if there is a problem. With a check or Money Order, basically, you are out there!
~"It does not matter what I think, it does not matter what you think. The only thing which matters is: What is the TRUTH!"~
Someone posted this same question to one of the eBay chat boards last winter, and a long thread developed. The consensus was that very few people had ever had a problem with a personal check bouncing - if anything, it seemed to be the most hassle-free and risk-free option.
I think there's more of a question now about
fake money orders. My bank is now requiring that MOs be deposited and take 3 - 4 days to clear (just like a check) because people can print legitimate-looking MOs on printers. The one exception is MOs from USPS - those, they'll cash on the spot.
My TOS says that I'll accept a personal check if someone has positive feedback of 20 or more, with no negatives, so I don't have to take checks from people with zero or very low feedback (though I have, if their responses in email are good).
There's also a caveat: "If you opt for a personal check, your box will be shipped in 7 to 10 days, after your check clears."
In reality, I've held checks only twice.
My bank says that if a check is going to bounce, it will come back pretty fast, in 3 to 4 days. Someone can cancel payment long after that - I think, in some cases, as long as 30 days. But since it costs at least $15 to cancel a check, and most of our items are low-ticket, and most of my buyers have great feedback, in my particular circumstances, I don't think that's much of a risk.
Usually, I ship as soon as the check arrives, or it would just take too long.
I think the main value of that "7 to 10 day" statement is to ward off the bad check crowd.
I think you have to be a little defensive about taking personal checks, but the counterpoint is that a lot of new eBayers haven't signed up for PayPal yet, and new bidders tend to be the most enthusiastic.
posted on October 15, 2004 12:57:09 PM new
I do take checks, and have rarely had a problem. I do state in my auctions that shipping is held until the check clears. Most buyers don't mind.
However, it is time consuming - takes a long time to get them in the mail and then wait until they clear, then ship. That means holding that item for awhile, when I'd rather get PayPal'd for it and get it out.
But some people want to use checks, so it's ok. I do think if a lot more of my custoomers started paying by check, I probably wouldn't offer the option. Too time consuming.
cat
"I'm Overworked and Underpaid and Unappreciated...
It's just a Perk of Being Middle-Class and Educated..." Mark Schultz (songwriter/singer)
