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Postdated checks

Article

Is it OK to accept postdated checks when clients can't pay?

Q: Is it OK to accept postdated checks when clients can't pay?

This strategy actually helps some practices keep their accounts receivable down. For example, All Creatures Vet Clinic in Almena, Kan., lets clients with outstanding balances pay this way, says Shelly Farber, the office manager.

Legally, there's nothing that says you can't accept postdated checks, says Gregory Dennis, JD, with Kent T. Perry & Co. LLC in Overland Park, Kan. "However, if the check doesn't clear and you want to prosecute, you may not be able to bring the issue to a criminal court. You can still seek civil penalties, though."

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