Policy 7.06: Collections Policies and Procedures

Policy

The College Business Office shall collect all amounts due resulting from items that have been credited to students’ accounts but returned because of insufficient funds, rejection, or errors of  commission or omission.

The Business Office shall collect amounts due from Financial Aid to students before applying  refunds to students’ accounts.

Definitions

In its collection of returned items the College follows Massachusetts General Laws, Chapter 266 Section 37, which reads:

Whoever, with intent to defraud, makes, draws, utters or delivers any check, draft or order for the payment of money upon any bank or other depository, with knowledge that the maker or drawer has not sufficient funds or credit at such bank or other depository for the payment of such instrument, although no express representation is made in reference thereto, shall be guilty of larceny. As against the maker or drawer thereof, the making, drawing, uttering or delivery of such a check, draft or order, payment of which is refused by the drawee shall be prima facie credit with such bank or other depository, unless the maker or drawer shall have paid the holder thereof the amount due thereon, together with all costs and protest fees, within two days after receiving notice that such check, draft or order has not been paid by the drawee. The word “credit” as used herein, shall be construed to mean an arrangement or understanding with the bank of depository for the payment of such check, draft or money order.

Procedure

Bad Check Procedure

The student’s account is credited with initial payment. The account is charged with a non-refundable fee to cover bank charges incurred. The student is notified to settle their account immediately.

Financial Aid Procedure

The Financial Aid Office transfers aid to student’s account. The Business Office is given a listing  of Financial Aid recipients. The Business Office checks the student’s charges and makes certain  the student is correctly billed. Accounts that have an excess of payments over charges and fees, are refunded.