Returned Checks

Policy
Purpose: 

Protect the university from non-sufficient payments.

Applies to: 

University of Kansas departments that receive checks, e-checks, money orders, or other payment instrument upon which the instrument is drawn.

All parties making payment to the university with an instrument that may fail to clear the financial institution upon which the instrument is drawn.

Campus: 
Lawrence
Edwards
Medical Center, Kansas City
Policy Statement: 

Deposited checks or e-checks that do not clear the bank the first time will be automatically processed by the bank a second time. If the check still does not clear, the bank will return the check to Student Account Services. Student Account Services will determine the account to which the check was originally credited and start collection activity on the insufficient funds check. A "no check" indicator will be placed on the student's account indefinitely.

A charge of $30.00 will be made to a debtor's account for each check, draft, money order or other payment instrument which fails to clear the financial institution upon which the instrument is drawn. A $30.00 charge will be assessed by the University department that is responsible for collection of the dishonored items. All subsequent payments received by the University in settlement of debt will be applied first to the returned check fee, if applicable, and then to the original amount owed. The University reserves the right to require payment by cash, money order or cashier's check for settlement of a debt after the initial payment has been dishonored.

Contact: 

Assistant Comptroller / Director - Student Account Services
Student Account Services
University of Kansas
1450 Jayhawk Blvd, Room 21/23
Lawrence, KS 66045-7505
stu.account@ku.edu
Ph: 785-864-3322
Fax: 785-864-5059

Approved by: 
The Board of Regents
Approved on: 
Wednesday, July 1, 1992
Effective on: 
Wednesday, July 1, 1992
Review Cycle: 
Annual (As Needed)
Keywords: 
NSF, non-sufficient funds, returned checks, check, draft, money order, late fee, e-check, no check indicator
Review, Approval & Change History: 

03/23/2015: Updated to reflect current nomenclature for Student Account Services.

11/20/2014: Updated to remove redundant information regarding approval date and approving body from Policy Statement.

07/01/1992: Policy approved.

Financial Categories: 
Financial Oversight

Can't Find What You're Looking For?
Policy Library Search
New Policies in the last 30 days
KU Today
One of 34 U.S. public institutions in the prestigious Association of American Universities
Nearly $290 million in financial aid annually
44 nationally ranked graduate programs.
—U.S. News & World Report
Top 50 nationwide for size of library collection.
—ALA
23rd nationwide for service to veterans —"Best for Vets," Military Times