In November, 2005, we postdated a check for the painting of our home. They never finished, so we put a stop payment on it. The painter cashed the check anyway at a corner check cashing place. The check cashing place received the check back stating "unable to locate account". It did not say "stop payment". The account was closed around April, 2006. They recently (four years later) hired a collection agency to collect the amount of the check plus interest. Since it has been so long, the bank does not have records of the stop payment. They can confirm the account close date, and showed no record of the check trying to clear our account. Are we liable to pay this check? Will or can it go on our credit report?
The check cashing outlet is out the money that it innocently paid to the house painter, and is not responsible for the failure of the painter to complete the job. Whether or not the check is still enforceable will depend on the laws of the state in which you live. Check with a nearby legal aid office to find out whether four and a half years is too long for them to have waited to pursue the debt.
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The check cashing outlet is out the money that it innocently paid to the house painter, and is not responsible for the failure of the painter to complete the job. Whether or not the check is still enforceable will depend on the laws of the state in which you live. Check with a nearby legal aid office to find out whether four and a half years is too long for them to have waited to pursue the debt.
