Results 1 to 21 of 21
-
07-02-2018, 10:01 AM #1
- Join Date
- Oct 2016
- Posts
- 25
Payment Stop On Fee....What are my options
I have a merchant that has filled out a ACH Authorization Form for a fee. The merchant has put a stop payment on the fee two times now. I have tried to get in contact with the merchant but they seem to be avoiding me.
What are my options in dealing with this? I have contacted my bank and am trying to fight it internally but I don't have too much faith in this option. Court doesn't seem like a viable option as the fee is just 3k.
Any help and suggestions would be greatly appreciated.
Thank you
-
07-02-2018, 10:16 AM #2
- Join Date
- Oct 2016
- Posts
- 4,318
Write it off as a loss.
-
07-02-2018, 10:27 AM #3Karen37aGuest
From them to have done that, they would most likely have intended on doing it from the onset of signing it. I cant go into ach reject codes on these boards and the rules of stop payment.
What was the fee for? What type of product did you sell?
If you want to get the money back you can slap them back...but know the banks are regulated etc so decide if you want to duke it out for 3k
Add** or they didnt understand the fee would be taken from the net dollar amount not off the top, which is why it has to be explained clearlyLast edited by Karen37a; 07-02-2018 at 10:31 AM. Reason: add*
-
07-02-2018, 10:31 AM #4
- Join Date
- Oct 2016
- Posts
- 25
It was for an MCA Collateral loan.
-
07-02-2018, 10:33 AM #5
-
07-02-2018, 10:34 AM #6
- Join Date
- Oct 2016
- Posts
- 25
WHat do you think about sending the merchant a demand letter from attorney?
-
07-02-2018, 10:36 AM #7Karen37aGuest
-
07-02-2018, 10:40 AM #8
- Join Date
- May 2018
- Posts
- 70
Generally, there isn't anything you can do other than send them to collections (if you have a collections company willing to chase small amounts like that) or take them to court, neither of which is likely to be worth it unless we're talking about a fee > $5K.
Chalk it up as a learning experience. Tighten your processes, pre-sell your fees, do your own post-funding call and remind them about the fee, how much it is, when it's coming out, and the consequences should it be rejected.
We've also found there to be a correlation between blocking PSFs and defaulting on advances. Hopefully you dont get an email from the funder in a couple of days saying the merchant stopped payment on the dailies and they're clawing you back. That's the worst, cuz you did all that work for nothing!
-
07-02-2018, 10:41 AM #9Karen37aGuest
-
07-02-2018, 10:58 AM #10
- Join Date
- Jun 2015
- Posts
- 3,326
2 things
1. the threat of being sent to collections
2.when it is merchants that go through other type of financing and are always negative , i found sending them a paypal invoice that they can pay by cc works .
After that like westcoast said move on
-
07-02-2018, 11:00 AM #11Karen37aGuest
The only thing I can ever add to this is, if they stop it some banks require them to submit something in writing.
You can request what they submitted ....then you are travelling down another road
Legally there is enforceability of a promise... Bargain Theory idea of reciprocity, an exchange between parties of two promises or a promise in exchange for an action.
again I am not an attorney I only play one on TV
-
07-02-2018, 12:30 PM #12
- Join Date
- Aug 2014
- Posts
- 620
-
07-02-2018, 12:32 PM #13Karen37aGuest
I agree...that's why he needs to call the funder to alert them that it happened. Something went wrong, best case ..funder renews for you or they are defaulting or the funder swipes the renewal
And this is why its best to be in good graces with the funders...make them profit they will help
-
07-02-2018, 12:38 PM #14Karen37aGuest
Then this merchant defaults....and then some wonder why I take it personally and do not want the guy taking more money again
-
07-02-2018, 01:04 PM #15
One option and its free is get them to sign and agree to fee. You can print out a check template online with their bank account number, routing numbers, and company name. Once they are funded you can cash this fee check against their account.
Last edited by TheShitzuofMCA; 07-02-2018 at 01:06 PM.
-
07-02-2018, 01:12 PM #16Karen37aGuest
-
07-02-2018, 01:31 PM #17
- Join Date
- Jun 2015
- Posts
- 3,326
-
07-02-2018, 01:42 PM #18Karen37aGuest
-
07-02-2018, 02:09 PM #19Karen37aGuest
These brokers then collectively went on to spread the love nationwide...defaulting upwards of 10 million
While they tried to tear the ethical ones down who didn't want any part of it....and the merry band joined in.
Off to close 500k then training for newbies and then yet another vacation the 4th( which means heading out to the boat)...gotta love renewals.
**There is a chance that merchant was instructed or coached to block the ach so the other broker can get in good graces with them
-
07-02-2018, 03:28 PM #20
- Join Date
- Aug 2017
- Posts
- 249
-
07-02-2018, 03:54 PM #21Karen37aGuest
That is a Bpo ...brokers price opinion
He is referring to a brokers fee or psf
Ps. Those brokers tried to reverse the fees AFTER they got paid commission...if they were not so greedy and rushing me I wouldn't have saw it coming.
Then some of them skipped off to debt relief and cursed me out on the DFLast edited by Karen37a; 07-02-2018 at 04:05 PM.
Similar Threads
-
Hard Money Loans, Weekly and Monthly Payment Options Available!
By AlexP in forum PromotionsReplies: 0Last Post: 05-23-2018, 02:20 PM -
Monthly Payment Options
By DiamondBL in forum Business LoansReplies: 4Last Post: 01-31-2018, 07:06 PM -
Monthly payment options for a larger deal?
By Dr MCA in forum Deal BinReplies: 11Last Post: 05-18-2016, 09:50 PM -
MONTHLY payment options
By BizFiStore in forum Merchant Cash AdvanceReplies: 0Last Post: 06-25-2014, 10:38 AM