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Cashing partial payment

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D

DANO69

Guest
What is the name of your state? SC

Can I cash a check whre only half the balance owed was paid and the customer marked the check "paid in full"? I am taking her to small claims court but can I cash this check now after marking thru 'paid in full"?
 


djohnson

Senior Member
You really don't have to mark it through or alter the check in any way. Writing paid in full on the check is not a contract. Maybe they are paying the deposit or down payment in full. Who know. I have also seen people sign it to cash it but right under protest under where it says paid in full. Take the money and don't worry about it.
 

JETX

Senior Member
Actually, djohnson is NOT correct.

What the debtor is trying to do is called a 'restrictive endorsement' and some states allow it, some don't.
South Carolina is one of the states that DOES allow it..... sort of.

What you MUST do is to write "under protest or without prejudice" (those EXACT words) under your endorsement. That way you preserve your right to enforce the debt in the future.

For more on this, go to:
http://www.carreonandassociates.com/4settle.htm
 

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