A customer came in and deposited a $500 MoneyGram money order. The teller did not check the date on the money order, and it was returned unpaid containing the following stamp, "PAYMENT STOPPED - STALE ITEM. Service Charge Contract on Back. Resubmit for Only $455.00".
The service charge wording on the back basically stated that after one year of issuance, MoneyGram charges a $1.50 per month service fee that is to be subtracted from the amount of the money order. What is does NOT state is who is responsible for submitting this for payment for the lower amount. Are we as the bank supposed to re-present the item and change the amount to $455? Or does the payee/our customer have to resubmit to MoneyGram and they issue a new, lower amount money order to negotiate?
Of course, I cannot find anything pertaining to this on the MoneyGram website, and calling them didn't help either. Has anyone else come across this before that could let me know how they handled it?