If I write Paid In Full on the front of my check and the other person cashes the check am I released from any future claims that I still owe them money like for a contract dispute?
2007-09-17 14:01:47 · 12 answers · asked by Larry62 5 in Business & Finance ➔ Credit
No. Spurious memos have no effect on existing agreements.
See how silly this would be. Suppose you have a balance owed on a car loan of $20,000, and you write a check for $100 and add "Paid in Full" to the front of the check. What do you suppose the odds are you have a valid argument to say you no longer owe the remaining $19,900?
Slim to none.
2007-09-17 14:04:07 · answer #1 · answered by Anonymous · 3⤊ 1⤋
Only when I am paying a 'lady of the evening' for services rendered. It is a good idea to keep a paper trail of all illegal activities. Jerry Springer actually paid a prostitute with a personal check when he was the mayor of Cincinnati. There is a man who appreciates the personal touch. I sent a check with my teaching license renewal form. There are some things you can't pay for with a credit card. I used to just send my credit card with my letter but it never came back, so I realized that a check was a better idea.
2016-03-18 07:50:55 · answer #2 · answered by ? 4 · 0⤊ 0⤋
No it means nothing. YOu need the peyee to agree that it is paid in full. What would be stopping you from writing a check for half of the amount and writing paid in full on it?
2007-09-17 14:23:55 · answer #3 · answered by Jay P 7 · 0⤊ 0⤋
No. This has been covered in articles and on the internet. If you signed a contract agreeing to payments, writing paid in full on it has no more effect on the agreement than writing "your wife is a big fat blue baboon." You might feel better, but it won't make it true.
2007-09-17 14:09:15 · answer #4 · answered by lisa w 4 · 1⤊ 0⤋
Nope...it's not the be-all end-all.
A court would need to find that there has been an "accord and satisfaction." This usually has three elements...
There must usually be: 1) a bona fide dispute over an unliquidated claim amount; 2) a check tendered in full settlement of the claimed amount; and 3) acceptance of the payment.
Accord is a party's agreement to give or perform, which the other party accepts in satisfaction of the debt.
The "accord" would be the piddly amount you wrote on the check, the satisfaction would be the other party's agreement that the amount tendered satisfied the debt.
2007-09-17 14:04:35 · answer #5 · answered by Bill 6 · 1⤊ 0⤋
Sorry, it doesn't work that way.
The legal term is a "contract volation". That means there is an agreement to change or modify a previously written or agreed contract.
So in your case, the creditor will definitely take this to court, and you would need to prove there was an agreement. The generally accepted method would be to write "payment in full, as agreed" and you would then need some sort of written agreement between parties to verify it.
I understand the question...I've seen this nonsense being given as advice in several places. Send them $1 with this written on your check and their cashing it makes it a legal contract. Nope, doesn't work that way.
2007-09-21 09:49:50 · answer #6 · answered by Anonymous · 0⤊ 0⤋
I don't believe I 100% agree with the above statements...I checked my favorite credit repair website and it depends on what state you live in...
Check out this website and you will see what I am talking about: http://www.creditinfocenter.com/debt/CanCreditorSue4SettlementDifferences.shtml
Of course I am sure restrictions apply, one of the responders gave the example of paying $100 on a $20,000 loan and writing paid in full on the check, that would be an obvious no....I believe you are asking about a collection company though. I strongly suggest you check out the link, check out the whole site if you have time, it is full of practical, good, FREE advice!
2007-09-17 15:01:03 · answer #7 · answered by Anonymous · 0⤊ 0⤋
I just read the previous reply to your question, and now I don't know. I always thought it did because I myself have done that with both personal checks and money orders. Hmmm...something for me to research.
2007-09-17 14:06:13 · answer #8 · answered by M2 3 · 0⤊ 0⤋
Most credit agencies have fine print within all of their contracts stating that whatever you write in the memo doesnt mean jack sh*t to them. Most of the time it wont do you any good.
2007-09-17 14:16:41 · answer #9 · answered by OhiosGirl 4 · 0⤊ 0⤋
As long as you fulfilled the contract, you will be OK. It will stand in a court of law. But if you are still owing on a contract, then it will not matter.
2007-09-17 14:07:07 · answer #10 · answered by Anonymous · 1⤊ 0⤋