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  1. #1

    Default Wire Company Claims Our Business Owes Money Due to Lack of Payment Receipts

    My question involves a consumer law issue in the State of: CA

    I'll try to be as brief as possible. My mother has a small business where she offers wire money services through a company much like Money Gram. The client goes to our store, talks to the company's representative, pays us and we deposit the money to the company's bank account. We deposit the money at least two times a week. If we don't make the deposits on time, the company temporally cancels the service until we fax them the deposit receipts; once they get the deposit receipts, our wire sales are accredited and we are bank on service.

    According to us, we were current with our deposits. Sometimes we failed to make the deposits on time or send the deposit receipts, but as soon as they canceled our service we either deposited the money or made sure the deposit receipt was fax. This happen a few times.

    Just a few weeks (Sep. 1) ago, the company canceled the service. They claimed we had a balance of $7,000 from the month of May. That they never receive any payments throughout that month. Which is absurd, since they immediately cancel the service if you failed to make the deposit or failed to fax the deposit receipts. We were a bit concern because after we fax the deposit receipts, we thought it was over... they cleared payment and accredited our account. It was stressful to scramble through all the documents trying to find those deposit receipts. Luckily, at least we thought, we found some of the deposit receipts. I emailed the receipts. After the representative received the receipts, I called him to make sure we were current and everything running smooth. He said that we were cleared for the month of May. But that he had found we owed money in June and July too.

    Basically, they have no control of what is going on. If we don't have the deposit receipts... according to them, we owe them money. Even if the company canceled the service in July due to lack of payment.

    The way I see it, if the company canceled service in July 4 for example, the company would make sure all the pending balance was paid and accredited. Only after doing that, we they let your business operate again. We are sure we made the deposit.

    If we don't have the deposit receipt, according to them, we owe money. Since the money was deposited into a general account. Many stores deposited money to that account, so it can't be track.

    .... What can be done? Are we legally responsible, even of the company clearly has demonstrated to be negligent with the accountability?

    Thank you

  2. #2
    Join Date
    Sep 2011

    Default Re: Wire Company Claims Our Business Owes Money Due to Lack of Payment Receipts

    I suggest you refer to your contract, which likely requires you prove you made payments. How do you process the stores accounting if you do not keep receipts?

  3. #3
    Join Date
    Jan 2010
    New Jersey

    Default Re: Wire Company Claims Our Business Owes Money Due to Lack of Payment Receipts

    If you went to court and told the judge you paid the company $7000, but you have no proof that you paid the $7000, who do you think the judge is going to rule in favor of?

    This is a lesson to learn from. You should now know to keep your record keeping not only in order, but in a safe place.

    Good Luck.
    I'm not a lawyer, but I did stay at a Holiday Inn Express last night.......

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