The time a client's check bounced right before rent was due

I was sitting in my apartment in Austin, trying to pay bills online, when my bank app showed a $1,200 payment had been reversed. My stomach dropped, because rent was due in two days and that money was from a big project I'd just finished. The client was a small startup and they'd mailed the check, which I'd deposited a week before. I called them right away, trying to sound calm, and the founder was super sorry, saying their funding round got delayed. I had about $400 in my account otherwise. I ended up calling my landlord, explaining the situation, and he gave me a three-day grace period, thank god. Then I spent the whole next day sending out invoices for smaller jobs I'd been putting off and asking a couple of regulars if they could pay early. It worked, but I learned to never count on a single check clearing until it's really in the bank. Has anyone else had to scramble like that because of a bounced payment?

2 comments

2 Comments

mason.paige1mo ago

It's wild how much of our stability depends on other people's money moving on time, isn't it?

gonzalez.anna1mo ago

Yeah, the "stability depends on other people's money" part is so real. I read about how a single big company paying its bills late can cause a whole chain of small businesses to miss payroll. Like a construction subcontractor doesn't get paid, so they can't buy materials, and the local supplier has to lay people off. It's a house of cards.