Guaranteed Funds and Indebtedness Policy
The Club Treasurer shall require guaranteed funds (cash, money order, cashier’s check or credit card) for a period of one year after two checks or two debit card transactions have been returned or rejected within a 24 month period. Debit cards are not considered guaranteed funds and may not be submitted for payment.
The only exception will be if the returned check is a bank error and a letter from the bank and a replacement check for the original check amount from the member is received within two weeks of the member being notified in writing by the Club Treasurer of the returned check. There is a return check fee of $25 on all returned checks that are not bank errors.
Debit card rejections as a result of actions by the bank are considered exceptions and are not cause for invoking an instance of a rejected debit card. Bank actions include, but are not limited to, setting a daily withdrawal maximum (which is exceeded when the amount is submitted for withdrawal) or replacing the card due to suspected fraud or stolen debit card.
When presented with a rejected debit card, a member must provide either a correct debit card number, credit card number, or state a date to resubmit the amount within 24 hours of being presented with the written or verbal notice of rejection. A resubmission date cannot be more than 48 hours of responding to the notification. Transactions that fail on resubmission will be considered one instance of a rejected debit transaction. Transactions that fail within 10 days of the now rejected debit transaction will be considered part of the same rejected transaction and not be counted as a separate instance. Rejected transactions will be turned over to the Club Treasurer for collection.
In all cases, a returned check or rejected debit card transaction is considered an indebtedness to the Club and all Club privileges will be suspended until the debt is paid.
After the one year of guaranteed funds requirement has been met, the member will be removed from the guaranteed funds restriction unless another check is returned unpaid by the members bank within a period of 24 months or a debit card is rejected after having the restriction removed; after which the member will be placed on 5 year guaranteed funds basis for all payments to the CKCSC USA Inc. and Regional Clubs.
The guaranteed funds restriction applies to ALL payments made to the CKCSC USA Inc and /or Regional Clubs; these include but not limited to membership, registration, show entries, banquets, clinics, auctions, merchandise, etc. If during the period a member is on guaranteed funds only restriction and they write a check for any reason to the CKCSC USA, Inc. or a Regional Club that is returned by their bank unpaid or submit a debit card that is rejected, the member will be placed on permanent guaranteed funds only status and fined $100 for each returned check or rejected debit card transaction.
Fines in conjunction with a sanction must be paid prior to the ending date of suspension imposed with the sanction. Failure to pay a fine in conjunction with a sanction will automatically result in expulsion without further action. Notice of expulsion will be published in the Bulletin. There shall be no right to appeal.