Bad Check Laws In Texas

by


Bad Check Laws Texas Texas Penal Code - Section 32.41. Issuance Of Bad Check makes issuing a bad check a criminal offense. Because bad checks are categorized as a criminal offense, the penalties may be very severe, even for first cases. Texas does make allowances for checks that are post-dated, but for others, the statutes are clear.


What is a bad check?

Texas Penal Code states that a check is considered bad when the person who issues the check (a) knows there are not funds in the account, (b) has no account with the bank the check was drawn on or (c) a payee was issued a check, attempted to cash it within 30 days of issuance, the check didn't clear, the signor was notified and failed to pay the amount of the check within 10 days.

What proof is needed?

Prosecutors are allowed to consider proof of knowledge of a bad check if the check writer was notified after the check didn't clear and they failed to pay the balance of the check plus applicable fees.

What are the penalties?

Texas Penal Code states that those who issue a bad check are subject to (a) time in county jail from 10 days up to two years and (b) paying a fine of up to $1,000. In addition, the person who was issued the check may also recoup fees that were charged by their bank.

It is important to note that when a bad check has been passed that the receiver of the check must notify the issuer that a check has not cleared. The issuer then has ten days under Texas Penal Code to pay the check in full (plus associated fees). The laws do not apply to post-dated checks.



For more information on bad check laws and for criminal and civil penalties in other states for writing bad checks, please read Bad Check Laws

Check with your state statutes for the most current information on Texas bad check laws.

You may want to also read Getting A Checking Account While On The Chex System

Learn how to Prevent Overdraft And Bounced Check Fees

Although all information has been written in good faith and has been reviewed, please email us at [email protected] to report any inaccuracies.