Are you someone that has written a bad check before? Did you know that was what you were doing when you signed your name and handed the check over? Did you think that there
was money in the bank but was later surprised when you received notification that the check had bounced? If you did not write a bad check intentionally, did you break any laws? When it comes to check
writing, you have to be extremely careful because there are many laws put into place to protect those who are on the receiving end of the bad checks. Writing bad checks is considered fraud and in
some cases, theft. However, where is the line between an innocent oversight and a flat out criminal act?
The best thing to do is not write any more checks until you learn as much as you possibly can about the Montana bad check laws. You will want to learn not just about what counts as bad check writing
but what the punishment is according to the law. Generally, if you bounce a single check or two during the course of a year, you are not at risk for jail time or fines, just so long as you resolve
the issue quickly. Many times, those who live on a tight budget find that one or two missing receipts can cause them to bounce checks they wrote under the assumption that there was money in the bank
to cover them. Since the intent was good and honest, there usually is not a lot of legal trouble to follow. Again, you have to make sure that you are making things right, paying those who did not get
what they were owed.
However, if you decide to start writing checks for amounts of money that you know is not available for a withdrawal, you could face severe criminal charges. The easiest thing to do is to remain
honest with yourself and others. Still though, you are going to want to make sure that you fully understand the bad check laws in Montana since you are in charge of a checkbook.
Below are the civil and criminal penalties for writing a bad check in Montana as covered under TITLE 45 - CRIMES, CHAPTER 6 - OFFENSES AGAINST PROPERTY, Part 3 - Theft and Related Offenses, 45-6-316
- Issuing a bad check, and under Montana Code 27-1-717.
Failure to make good on the dishonored check within 5 days after a written notice of nonpayment has been received by the issuer may result in the following civil and criminal penalties:
Civil Penalties: Service charge plus the greater of $100.00, or three times the amount of the check, but not to exceed the value of the check by more than $500.00 (MCA 27-1-717).
Criminal Penalties: A person convicted can be fined up to $1,500 or be sent to the county jail for up to 6 months, or both. If the offender has engaged in issuing bad checks that are part of a common
scheme or if the value of any property, labor, or services obtained or attempted to be obtained exceeds $1,500, then he/she could face fines up to $50,000 or be sent to the state prison for up to 10
years, or both.
For more information on bad check laws and for criminal and civil penalties in other states for writing bad checks, please read Bad Check Laws
Check with your state statutes for the most current information on Montana bad check laws.
You may want to also read Getting A Checking Account While On The Chex System
Learn how to Prevent Overdraft And Bounced Check Fees
Although all information has been written in good faith and has been reviewed, please email us at [email protected] to report any inaccuracies.