How Can I Get This Cake Payment Check Cashed?

Business By ttehan4 Updated 22 Apr 2010 , 7:27pm by cakesdivine

ttehan4 Posted 22 Apr 2010 , 1:05am
post #1 of 19

I have applied for my LLC so that I can get a business bank account because of this very reason, but I have not received it back yet. I have told customers, written it on my order forms and when this lady emailed to say she was sending her final payment I told her to be sure to write the check in my name not my business. Well, low and behold the 800.00 check arrives in my business name. My bank wont deposit it to my personal account and her bank wont cash it either. I have emailed her twice and left a message. She even emailed me the day before I got it to see if it was here now she is not responding. Any suggestions or know of anyway to get it cashed?

18 replies
leah_s Posted 22 Apr 2010 , 1:07am
post #2 of 19

Why wouldn't her bank cash it? Can't you just write your name on the pay to line?

Jenny0730 Posted 22 Apr 2010 , 1:08am
post #3 of 19

I worked in a bank for several years. You aren't allowed to cash a check made out to a business. It must be deposited into an account with the business name on it. Soooo, your only option is to get a different check from her.

Jenny0730 Posted 22 Apr 2010 , 1:09am
post #4 of 19
Quote:
Originally Posted by leah_s

Why wouldn't her bank cash it? Can't you just write your name on the pay to line?




That would be an altered check. Big no no!

Checks made out to a business can only be deposited.

ttehan4 Posted 22 Apr 2010 , 1:13am
post #5 of 19

I was going to write my name on the line with my business name but there was no room. The last time this happened my bank said they couldnt take it because it didnt have my last name on it. I took it to their bank went through the drive thru without a problem.

Jenny0730 Posted 22 Apr 2010 , 1:18am
post #6 of 19

It sounds like you got a teller who didn't know any better.

If a check is made out to a business, how is the other bank supposed to know who the signers would be on that business account. How do they know you are the owner? They don't. You could be someone who just found it on the street or stole it.

Allowing people to do anything other than deposit checks into a business account would be a set up for all types of criminal activity. (I'm not saying that you would do that. I'm just saying that's why banks can't allow it.)

tiggy2 Posted 22 Apr 2010 , 1:21am
post #7 of 19

I would send her one more email and let her know that since the check is made out incorrectly the cake is not paid for and there will be no cake until this is rectified. If there isn't enough time for another check to clear tell her you will need cash. I bet she'll respond to that.

cakeschmake Posted 22 Apr 2010 , 1:22am
post #8 of 19

I set up a bank account in my business name last year. I was a little disappointed when I couldn't just cash a check and I had to deposit it. Its good to know its not just my bank's policy... I'm not quite as annoyed by it now icon_smile.gif

tiggy2 Posted 22 Apr 2010 , 1:25am
post #9 of 19

If you have a business acct. what's the problem? Deposit it then write yourself a check.

elliespartycake Posted 22 Apr 2010 , 1:26am
post #10 of 19

I may be wrong but I don't think you need to have your LLC to open a business bank account. You probably need only have your business registered in your town ( at tour town or city hall) and then you can go to the bank and open your account as a DBA. It will have your name and your business name on the account. That way it won't matter whether the chech is made payable to you or your business.

ttehan4 Posted 22 Apr 2010 , 1:30am
post #11 of 19

Thankfully she sent in her final payment early so there is still time to resolve the issue. I will be glad when I can finally get the business account opened. This is a pain in the bootie!

ttehan4 Posted 22 Apr 2010 , 1:33am
post #12 of 19

You can obtain an account with a DBA, but I wanted to go ahead and register my business name and obtain EIN. It is 50.00 for the DBA and 125.00 for the LLC. DBA does not protect your name. The LLC takes care of everything so I went that route.

astone83 Posted 22 Apr 2010 , 1:35am
post #13 of 19

When opening a business account at a bank you only need to prove you are a recognized business meaning that you have some kind of paperwork showing a business, Dubious Name registration/ Employer Identification Number/ Business License/ ect. Then call your branch and setup an appointment with the business account manager and bring in the requested info. While you are there you can start you business credit accounts and everything else. When you receive the LLC back you modify the account to include "LLC" in the name.

ttehan4 Posted 22 Apr 2010 , 11:05am
post #14 of 19

I had an email from the bride this morning. She is going to pay through paypal. Thank goodness.

cylstrial Posted 22 Apr 2010 , 1:28pm
post #15 of 19
Quote:
Originally Posted by ttehan4

I had an email from the bride this morning. She is going to pay through paypal. Thank goodness.




Yeah! I'm glad that worked out for you! icon_biggrin.gif

cakesdivine Posted 22 Apr 2010 , 3:27pm
post #16 of 19

And this is one of the MANY reasons why I do not accept checks! Cash or Credit card payment through Paypal only! Especially on a final payment. People will do things like this purposefully just to screw you.

indydebi Posted 22 Apr 2010 , 4:22pm
post #17 of 19

making a check out to a business is not usually done to "screw" someone. icon_confused.gif

When I opened my business account, I opened it as a dba using my social security number as the business ID number (it was a sole proprietorship at the time). when I converted to LLC, it was no big deal to have the bank switch it over.

I didn't have to show any special paperwork or anything. Just walked in and opened it.

KHalstead Posted 22 Apr 2010 , 4:31pm
post #18 of 19

My bank only requires a license with a current address and 2 forms of business id. ( I had to show them a business card and a letter head LOL) 2 forms that ANYONE could make themselves if they wanted to.

Anyhow, that's all it took here!

Oh and by the way.......as long as I was "depositing" the checks and not "cashing" the checks.....they didn't care if it was written out to my business and I put it in my personal account. I did it for 2 yrs. before getting a "business' account!
guess it all depends on the bank

cakesdivine Posted 22 Apr 2010 , 7:27pm
post #19 of 19

Debi her invoice specifically stated that the check needed to be made out to her directly and NOT her business. Anyone with half a brain would know that the reason they were doing this is because they don't have a business bank account set up yet, and therefore the check would be worthless to them with no way for them to deposit or cash the check. You bet this person took advantage of that fact.

OP - call her back and tell her you want cash and cash only for final payment or no cake. That a check at this point is unacceptable.

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