What to do if my family was loaning me 5k, so I deposited the check and paid off the debts but they stopped payment on the check?
Question Details: The next morning my family member found out that there 401k loan did not get deposited like it was suppose to so they stopped payment. Now the bank says if I don't pay in 10 days, they will file criminal charges against me and my family member. Can they do that or is this a civil matter?
I suggest that you have a face to face meeting with the bank's manger over what transpired with a family member to discuss the fact that the 401 k loan did not go through as planned. From there, work on a way to get the money into the bank with the assistance of the family member who stopped the payment of the check (loan) to you.
Passing bad checks is indeed a criminal offense. The charges can span over a few different violations including fraud. I would contact the creditors and explain what happened and agree to make restitution - pay off the debt. Then come up with the bank fees and speak with an attorney to be sure. Good luck.