Legal Question in Banking Law in New York

Who should be responsible for a check bounce

Sir or Madam:

I received a check of 4700$ from someone I do not know. He wanted to buy my car with 1850$ and wanted me to transfer the rest to his friend who is going to pick the car. I took the check to Citibank to cash it and asked whether the check is safe? They told me yes and money is available to use in 24 hours. 24 hours later, I took 2850$ and transferred the money. Unfortunately, one week later, bank told me that the check was returned. and I lost 4700$ in my account.

Who legally should be responsible for this? I think it is the bank, if it does not give me money, I simply could not transfer since I did not have 2850$ in my account. I set up my account with Citi in Texas and the transaction was conducted in New York.

Please help me !

Thank you,

Rocky


Asked on 11/07/08, 9:44 am

1 Answer from Attorneys
Warren Markowitz Warren R. Markowitz, Esq

Re: Who should be responsible for a check bounce

You are responsible for the bounced check. now you need to go and collect the funds.

I can suggest that you contact the local police department and speak with someone that handles fraud complaints. You unfortunately had your good nature used against you.

The bank is only responsible for processing the checks, and therefore will hold you to paying for the debits incurred for checks that are returned.

If you can track down the person that gave the check to you this is a good place to begin with the police, also contact the police department in the state/county/city where you sent the money.

Good Luck.

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Answered on 11/07/08, 2:08 pm


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