Daycare Took My Money and Won't Give Back Deposit

[Kara]

I recently talked to a in-home daycare and was interested in having the lady provide care for son of 3 months. I told her I wanted my boyfriend to meet her and he was out of town, would be back in on Wednesday and would be able to meet then, she push for a deposit and I was uncomfortable but gave to her with the agreement that she would not cash until Sam started her care.

My boyfriend was unable to make it to her house on the suggested day but called with no response, called again the next day with contact and had a short conversation that suggested that we would be unable to make it and for her to take others if interested due to him being busy. Then boyfriend told her to send back deposit in mail and she agreed with that. Then she stated in a email a day later that she would hold check til Sam (child) was there. Note next day we seen check had been cashed and called several times talking with mr and he stated she was out for classes then the next day she emailed and stated that she was sick and now we have several different reasons why no contact. Emailed again to get check back stated that we would possibly go to small claims court and still no response.

I would like to know why this can happen, this is my first time looking and dealing with a day care provider which almost makes me sick….what can I do? My boyfriend has now taken over, due to me feeling just sick about my child even being there.

[Texas Provider]

Take them to small claims court

Sorry to hear that. Like all businesses, daycare can likewise have bad apples. Being your first experience makes it even worse. You should send them a certified letter and it there is no response take them to small claims court. Afterwhich contact your state's licensing agency and file a complaint if they continue to not respond.

[Former Teacher]

Afterwhich contact your state's licensing agency and file a complaint if they continue to not respond.

I am sorry you have to deal with someone like that. Be assured that not all providers are like that. I do have to disagree with my colleague on the statement to contact licensing. I don't know about your state but my state (TX) will not investigate this type of claim. They may sympathise with you but as there were no violations of the center (ie. abuse, children in danger etc) they have no grounds.

As I said this is how TX works. I do agree though with TX Provider that yes you should send a certified letter which she must sign. If that doesn't work then take her to small claims court. Make sure you save ALL paperwork and make sure you are friendly.

Next time, do your homework. Depending on the center you choose, talk to other parents. See if your state offers online inspection reports (TX does). You can never be to careful when it concerns your baby

Good luck!

[mac60]

Not knowing the situation, I do know some people require a deposit to hold the spot, and it is not refundable. Did you get paperwork from provider? Personally, I would not take a check for deposit that I could not cash. It appears to me that you gave the deposit to hold the spot. At that point, the provider probably quit interviewing and advertising, assuming that you were taking the spot, as you did give a deposit. If you called back and said to give the spot to someone else, that was your choice, but also, the spot the provider thought was filled, now isn't, and she has to go thru the advertising, interviewing process all over.

While I don't know how much you paid for the deposit or all the details, any deposit I would ever take would be non returnable. No exceptions. It sounds like you decided to canel the deal.

Can I ask, why you didn't make the decision on your own?

[seashell]

I have a couple of concerns here.

first, did you sign a contract with her when you gave her the check? If you did, you are bound by that contract.

second, if you liked her enough to give her the deposit without your bf meeting her, why would you just give up when he couldn't make the appointment and tell the provider to find someone else?

It's hard to say if she should or should not be giving back the money without those details.

[gbcc]

Most provider require a non-refundable deposit. This was probably the case. Therefore, if it was your decision to have her take another child for that spot she had every legal and ethical right to cash that check. I don't know of any deposits that are refundable.

It is a business... just like if you put a deposit on a car and then change your mind, you don't have a legal right to get that deposit back.

In the future, if you are not 100% sure you want your child to begin care there then I would not hand over a deposit.

[HappyCamper]

Sad...

That is soooooo unfortunate!!!

First off, thank the LORD that you found out what kind of person you were dealing with. You dodged a bullet on that one and I'm thrilled your child won't have to deal with a person of zero character.

Lastly, I would send a certified (typed) letter stating you want your refund by x date and if you don't receive it by that date, than you will proceed with small claims court.

I hope it works out!!! =)

[Eagan Dad]

same boat

gbcc...I appreciate you questions, and in my case I receieved no receipt and no contract was signed. Do I have any recourse?
The funky details is that i currently had one child there under contact, but this deposit was on a TBD baby due 6/19/10. We terminated our current child in care with 2 week notice and when that was complete she advised that it was non-refundable deposit on number 2.

I understand that there is lost potential money and time. is there a middle point where we could meet?

[jen]

gbcc...I appreciate you questions, and in my case I receieved no receipt and no contract was signed. Do I have any recourse?
The funky details is that i currently had one child there under contact, but this deposit was on a TBD baby due 6/19/10. We terminated our current child in care with 2 week notice and when that was complete she advised that it was non-refundable deposit on number 2.

I understand that there is lost potential money and time. is there a middle point where we could meet?

I would say no. The provider held the spot and likely turned away others. You are losing a 2 week deposit, she is losing income on the spot indefinitely. Without a reciept or contract I would think that you would have very little legal standing.

[Unregistered]

No contract

I would say no. The provider held the spot and likely turned away others. You are losing a 2 week deposit, she is losing income on the spot indefinitely. Without a reciept or contract I would think that you would have very little legal standing.

Without a contract, I would think you have a better chance at winning at small claims court. You bet I would send her a certified letter telling her she has 30 days to return the deposit or you will file.

[jen]

Without a contract, I would think you have a better chance at winning at small claims court. You bet I would send her a certified letter telling her she has 30 days to return the deposit or you will file.

Good luck with that!

Just out of curiosity, why would you think that without a contract or a reciept that one would stand a chance of winning??? How would you even begin to prove that the money you paid was even a deposit?

I doubt that many providers would feel threatened by a certified letter or idle threat.

[Unregistered]

Good luck with that!

Just out of curiosity, why would you think that without a contract or a reciept that one would stand a chance of winning??? How would you even begin to prove that the money you paid was even a deposit?

I doubt that many providers would feel threatened by a certified letter or idle threat.

I would assume (perhaps wrongly so) that this parent gave a check as a deposit and wrote on the check that was a deposit. I'm not saying that she will win, but I sure would try. If there was a contract that said non-refundable deposit, then you are outta luck.

I would also add that any decent child care provider who just wanted to cut ties with a family (assuming this was a problem that resulted in the older child being pulled out) would want to refund the deposit and be done with that family.

[jen]

Well, it would be interesting...personally, I doubt that the client would get the deposit back. It might be different if the provider made the choice to exclude the family, but in this case it appears that the client changed their mind and pulled the child.

Why do you think a "decent" provider would return it just to be done with it. If I accept your deposit and stop advertising for that spot, then a parent decides not to use that spot, I have lost potential revenue. Now, according to you, a provider should take an additional loss by refunding the deposit.

If you place a deposit on an apartment, decide after a couple of weeks that you want to move someplace else, would you expect the landlord to return your deposit in that instance too?

[judytrickett]

I find the post a little conflicting. You stated you gave her the deposit for a spot but then say you told the provider to go ahead and interview other candidates because, for some reason, you had second thoughts.

It is standard practice to obtain a deposit from any family who claims to want the spot. And, most providers will cash the deposit immediately. It is their insurance policy that the spot is actually taken because that same provider has stopped interviewing and likely turned other interested families away.

Did you sign anything when you gave the deposit? A deposit form, a contract?

[judytrickett]

Why do you think a "decent" provider would return it just to be done with it. ?

I agree. I would most definately be considered a "decent provider" as I am always full and come highly recommended and I can assure you I would NOT return a deposit cheque. Returning a deposit cheque defeats the entire purpose of taking a deposit.