Bad Check Restitution Program

Hundreds of thousands of bad checks are passed in Los Angeles County every year. Merchants lose millions of dollars to bad check activity while consumers share in these losses through higher prices. Everyone bears the additional cost of law enforcement efforts and prosecution of bad check cases in Los Angeles County.

To combat this problem the District Attorney's Office has created a dynamic program to track down bad check writers and recover losses for their victims. A check writer who qualifies for the new Bad Check Restitution Program is temporarily "diverted" from criminal prosecution and given an opportunity to make good on the check.

Successful completion of the program requires attendance at an eight hour intervention class designed to address underlying behavioral issues that cause bad check activity. Cases on check writers who fail to fully repay their victims are reviewed for possible criminal filing. This diversion opportunity, coupled with the possibility of criminal prosecution, deters bad check writers from future offenses.

The Bad Check Restitution Program forms a partnership between the District Attorney's Office and local business communities while removing some of the burden bad checks place on local police. This innovative approach to the bad check problem provides new avenues to obtain restitution, to protect the public and to seek justice in these matters at no cost to bad check victims or Los Angeles County taxpayers.

CUTTING YOUR LOSSES

1.      Document at least one attempt to collect from the check writer by sending a courtesy notice. Allow the check writer a minimum of 10 days to respond and remit payment in full.

2.      Call the Bad Check Restitution Program at 800-842-0733 for a complaint form (or download it here) if you do not hear from the check writer or receive payment after attempting contact.

3.      Fill out the complaint form. Attach the original check(s) and any supporting documentation such as return receipts or bank notices. Retain photocopies for your records. Mail the originals to the address below.

Los Angeles County District Attorney
Bad Check Restitution Program
P.O. Box 86407
Los Angeles, CA 90086-0407
(postal address only)

If you do not receive a restitution payment within 60 days, contact the District Attorney Bad Check Restitution Program.

THE DISTRICT ATTORNEY BAD CHECK RESTITUTION PROGRAM WORKS BECAUSE...

• Bad check complaints are easy to file. Follow-up action is prompt.
• Upon recovery full restitution is paid to the bad check victim. Restitution includes the face value of all bad checks plus applicable bank charges such as returned item fees.
• No minimum filing restrictions based on check amount.
• Bad check writers are required to attend an eight hour intervention class at their own expense.
• No cost to the bad check victims, Los Angeles County or its taxpayers

ELIGIBILITY

Any person who receives a bad check is eligible to participate in the program if the following conditions are met:

  It was received in Los Angeles County, deposited in a bank in exchange for goods or services, and presumed good at the time of acceptance. There are no minimum restrictions based on dollar amount.

  A courtesy notice was sent to the check writer allowing 10 days to cover the check.

  It was submitted to the program within 120 days from the date on the check.

  A photo identification such as drivers license, military I.D., or state identification card was recorded at the time of the transaction.

INELIGIBLE BAD CHECKS

• It is post-dated.
• Both parties knew there were insufficient funds at the time of transaction.
• It is an out-of-state, two party, rent, government, or payroll check.
• The identity of the check writer is unknown.
• No amount, date, or signature on the check.
• If not processed through your bank.
• The check involves an extension of credit or payment on an account.

SAFEGUARDS AGAINST BAD CHECKS

  Does the check have a low number or no printed number? About 90% of bad checks are drawn on new accounts. If check numbers are lower than 125 or are handwritten, use extra caution.

  Is the date on the check accurate? A postdated check may be a defense under California law.

  Does the word amount match the number amount?

  Does the name of the payee appear to be changed?

  Is the check imprinted? Does the signature match?

  Always insist on identification. Write information on the front of the check. Bank stamps may cover up valuable information written on the back of checks. Write the initials of the check-receiver on the front of the check.

If a check is ineligible for the District Attorney Bad Check Program, you may consider small claims action or private collection efforts.

CHECK ACCEPTANCE TIPS

• A clearly posted check acceptance policy can help reduce your losses.
• Accept checks with today's date ONLY. Post-dated checks are not eligible for the District Attorney Bad Check Restitution Program.
• Trust your instincts! Ask questions or ask for another from of payment.

Bad Check Restitution Program
Los Angeles County District Attorney
P.O. Box 86407
Los Angeles, CA 90086-0407
Victim Hotline (800) 842-0733
Check Writer Hotline (800) 269-0206

Checks are eligible for the program if:

• the check was received in exchange for merchandise, personal property, or a service, or if the check was made payable to cash and endorsed by the check writer

• the check was processed through a bank at least once and returned stamped “NSF” (non-sufficient funds), “account closed,” “refer to maker” or “ unable to locate.”

• certain “stop payment” checks are allowed (please contact the Victim Hotline at bottom on a case-by-case basis)

• the check was passed in Los Angeles County

• there are no minimum or maximum restrictions on check amount

Checks are not eligible if:

• the check is stolen, counterfeit, or forged (report these to law enforcement)

• the check is a two-party, government, out-of-state, payroll, or rent check (pursue these through small claims court)

• partial payment has already been accepted

• the check is post-dated, or where there was an agreement to hold the check for some period

• the check was given as payment on an installment account or where there was an extension of creditHoile?

• Before filing the check with the program, the check writer must be notified by telephone or through the mail and extended a grace period of at least ten days to make payment

• After that ten-day period, time is of the essence: the program is more successful when checks are filed promptly with the program

• Checks can be filed up until 120 days after the transaction date

• Use the complaint form provided by this program (call contact number for additional forms):

• for each check writer, use one form; if that person has written multiple bad checks, attach them all to one form

• list and describe any attempt to notify the check writer by telephone and through the mail

• fill in the complaint form as completely as possible

• photocopy everything you send to the program

• attach the original check(s) and other supporting documents (i.e. the bank notice, certified mail receipt, copy of the courtesy letter) and mail to:

Los Angeles County District Attorney

Bad Check Restitution Program

P.O. Box 86407

Los Angeles, CA 90086-0407

• DO NOT ACCEPT PAYMENT from the check writer after you have filed the check with the program. Refer the check writer to the Check Writer Line (number below) for instructions on making payment

• To obtain status on your check, you should wait 30 to 45 days before calling the Victim Hotline (number below)

• Once restitution is collected from the check writer, you will receive payment from the District Attorney’s Bad Check Restitution Program. If the check writer does not comply with the program, the case will be reviewed for prosecution. If the case is non-prosecutable, your check will be returned so that you may pursue your claim in civil court.

MERCHANT HOTLINE: (800) 842-0733, CHECK WRITER HOTLINE (800) 269-0206