Bad commercial paper

[gduke2010]

We get paid every other week end and tomorrow is "bad check Friday". This has been going on for a for atleast since the begging of the year. there's never been enough money in the account to cover everyones check. And 2 weeks ago, there wasn't any money in the account. It will be a race to the bank tomorrow. There reason why I still hanging out with the company is, I have anther job lined up in late summer/early fall.

My question is isn't it illegal for an employer to pass bad commercial paper?

[legion]

It is illegal for an employer to not pay employees. It's questionable not to pay suppliers, but that is the sort of thing that can be sorted out in bankruptcy court. If the DOL catches wind of this, they will shut the company down ASAP.

[billybek]

Wow.
I don't think I would be too motivated to work for a company that couldn't pay it's employees.

When do they cover the cheques that don't clear? A day, week or a month later?

[Joe Bob]

Auto deposit.....

[Dantilla]

Long ago a friend worked for a company who's paychecks would occasionally bounce.

He got in the habit of going inside the bank and getting cash, then depositing the cash into his account at the drive-through window.

[greglepore]

Knowingly passing bad checks is a crime in most states.

[speeder]

Originally Posted by greglepore

Knowingly passing bad checks is a crime in most states.

Bingo. Back in the not so distant past, when paper checks were much more commonly used for everything, bounced checks were happening constantly on the personal/consumer level but were treated like NBD as long as made good quickly. Banks made a fortune in overdraft fees. They loved this system.

Intentionally writing a bad check is definitely a crime, though not pursued usually unless it's really egregious and someone can convince the proper agency to prosecute. It's theft by fraud.

[Por_sha911]

Originally Posted by Dantilla

Long ago a friend worked for a company who's paychecks would occasionally bounce.
He got in the habit of going inside the bank and getting cash, then depositing the cash into his account at the drive-through window.

I worked for a company back in the 90's that had the OP's scenario. I did the above. Go in and ask to cash the check. Then, hand them the cash back with a deposit slip and deposit into my account. The tellers knew what was up and never complained. That company didn't last too much longer.

[Gogar]

Does your bank have an app that allows you to make a deposit by taking a 'photo' of the check?

I don't know if it speeds the actual 'deposit' or if it just makes it feel good.

[Por_sha911]

I wouldn't use the app. The bank could claim NSF and hit you with a fee. Get greenbacks. No way the bank can renege on that later to charge you bounce fees.