Theres a checkcashing place my son cashed a check at, the people who sent him the check put stop payment on it

and now ace express tells him he owes them 285.00$ what can they do as far as going to jail, or sending him to a collection agency
Additional Details
they check was a personal check from some people in new york from a ebay purchase

He will probably have to pay to get the check back but why did they stop payment on it That why we have paypal accounts.

From what you saying is that your son already cashed the check at a check cashing place, but the issuer had made a stop payment, so the check cashing place is out of $285. Yes, they will ask him to pay it back, and if your son don't pay them back, I am sure he will not be able to cashing checks there. Your son should try to pay this check cashing place back and deal with eBay purchase. If the check issuer really own your son money than your son should pursue the money owe to him.

You can't be put in jail for owing money. It's in the constitution baby! ---That doesn't apply if you already broke a law, i.e. not paying your speeding ticket or fraudulant tax evasion.

But for a bank issue, he won't go to jail. The worst they can do is seize his bank account or hold his tax refund.

The most important thing to remember is they can't call and harass or threaten him (with jail for example). They can't call during non-business hours either.

You son is 100% responsible and they can prosecute him for fraud.

Why didn't he cash the check at a bank?

As the mother of a 24 y.o. son, don't believe everything they tell you.

If he had cashed it at a bank it would be the same way. When you submit a check to the bank and it bounces - then you are responsible for that money. He needs to call and make some arrangements for payment.

They could claim fraud and if convicted he could go to jail ( unlikely but possible).

was not his fault they put a stop on it he needs to contact the ones that did it.

This just happened at my workplace. My employer wrote a check to a person; that person cashed it a check cashing place after my employer had put a stop payment on it. The check cashing place DID go after the person who cashed it, HOWEVER, ultimately, our company was the one responsible for reimbursing the check cashing place.

I'm not sure where you are, but in Maryland, the person who WROTE the check is responsible for reimbursing the check cashing place, not the person who cashed it (the person it was written to). It's Maryland law in order to protect the check cashing businesses.

What state are you in? If I were you, I'd check out the law for your state -- it may be the same as Maryland. And if it is, while the check cashing place can threaten your son, they can't do anything legally against him (including a collection agency) -- instead they'll have to pursue the person who wrote him the check to begin with. Of course they're hoping your son will just cave in to the threats and pay them so they don't have to go thru the expense of pursuing the company who gave your son the check. It's worth looking into your state law where this is concerned.

All that being said, if your son knowingly cashed a check he knew would "bounce" because of the stop payment, the person who wrote him the check can pursue him for fraud if they want to. For such a small amount, it may not be worth it to them, but it's something to remember.

** ADD **

Since this was for an ebay purchase, he should definitely contact ebay about the problems -- they might be able to help him recoup any money he loses on the deal. Ebay has procedures in place just for this type of thing.

Also, the reason the check cashing company is coming after your son is because he's convenient -- it's a lot easier to go after a hometown boy than a couple in New York. There ARE laws about who the check cashing company "a holder in due course" can pursue in these situations, and as I said in my earlier answer, here in Maryland, they pursue the person who wrote the check.

Not to mention your son has a valid argument to file suit against the couple in NY himself -- if your son provided the service or item he was supposed to and they stopped payment on the check anyway, they can be held liable for your son's losses.

In any case, the check cashing company may decide to forward the information to a collections agency (which he could argue -- though it would take some time to resolve) or possibly even file a small claims suit against your son (which he could then argue in court), but it's highly doubtful criminal charges would be filed because if your son cashed the check in good faith with no indication or knowledge that a stop payment was or would be placed on the check no fraud was committed.

Timing is everything too -- if the stop payment was placed AFTER your son cashed the check but BEFORE it got to the couple's bank for funding (might only be a matter of hours or a day even), I don't think your son can be pursued for reimbursement (and if he is anyway, that point can be argued in court) because at the time he cashed it, it was a "good" check. All in all, I believe the couple in NY is responsible.

It would certainly be worth contacting an attorney for a free consultation to determine what your son should do and follow through accordingly.

The check was written to him....it was not fraud because he had no idea that they were going to put a stop payment on it..

now if he had written that check himself ( personal)
he would have been in big trouble....( bounce check)

Since it was a compan or personal other than himself
its o.k...its up to the checkcashing biz to seek the money
from the writer.

he is clean as a whistle

They may have stopped the payment on it thinking it had been stolen and cashed fraudulently. Can he contact them to explain the situation.
Obviously he has had cash in hand and the company who cashed the cheque have been left out of pocket.
He needs to clarify the situation with both companies.

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