Returned Payments (C-35)
Original Implementation: September 1, 1987
Last Revision: April 19, 2011
A returned payment is defined as any payment by check, credit card, debit card, draft or other format which is returned to the university unpaid due to no fault of the bank or the university. The business office shall assess a returned payment fee plus applicable sales tax for each such returned item. Returned payments on student or departmental accounts may be submitted for collection to a check verification and collection service or the county attorney. Returned payments on student accounts will be treated as outstanding charges until paid. Delinquent accounts will be subject to the university’s policies and procedures for handling student accounts receivables. If a delinquent account is turned over to a collection agency, applicable charges assessed by the collection agency will be charged to the student's account.
Returned payments received from departmental deposits will be charged back to the originating account and the applicable department will be notified. If a returned payment is received from a donor, the university will coordinate the charge back of the gift through the development office. The development office may make contact with the donor for resolution.
Returned Payment Consequences
After receipt of three returned payments from any individual, organization or business, the university reserves the right to refuse certain types of payments from those payors, and may demand payment by cash, cashier’s check, credit card or money order. Additionally, legal action may be taken.
Employees with returned payments must make restitution to the university within ten business days of notification. Failure to make restitution within ten business days of notification may result in disciplinary action.
Cross Reference: Check Cashing (C-6)
Responsible for Implementation: Vice President for Finance and Administration
Contact for Revision: Controller
Board Committee Assignment: Finance and Audit