💬 Join us to post & get advice from 50,000 HOA & Condo leaders.

Create Free Account →

⚡ Takes 30 seconds

Already a member? Log in

LetA (Nevada)
Posts: 2,679
Posted:
Are HOA Boards, MC's obligated to refund an accidental, incidental overpayment of monthly assessments?

Long story short, The bank our HOA uses to process monthly, quarterly assessments all the sudden has issues with using their site to make payments for us mac owners using Safari web browser.

When I went to make Septembers monthly assessment, I found that the webpage for the bank was freshly updated with graphics, with the update the bank did not retain any HOA account information.
When I submitted my payment, it immediately timed out and I had a pop-up window with an option to cancel the transaction. I cancelled that transaction, I checked my email to make sure the payment did not process. I then switched to Firefox and made a successful payment. Later I saw two emails for payments.

I tried to email both accounting and the MC and received no response. I called accounting only to be told me no they will not refund it. Accounting also told me they were only made aware of the Bank Changes September 1st which I know is a LIE because I called the HOA bank early, 7 am on Monday morning to see if they could kill one of the payments before it posted, I was 20 minutes too late calling them to do so. The agent for the bank told me the MC's were made well aware of the changes more than a month in advance to prepare people paying their assessments.

I am forced to dispute the charge with my bank, which I will happily do, and thankfully I took a screen shot of the cancellation page.

I just feel the MC should take the easy road and issue the refund without incident, What say you?
CathyA3 (Ohio)
Posts: 6,299
Posted:
If it were me, I'd consider it a early payment for the coming month and let it go. It's not like I'd earn enough interest on that early payment to justify the time and aggravation of trying to get a refund. My time is worth more than that.

Is there a reason you don't want to do that?

AugustinD
Posts: 5,144
Posted:
Ditto CathyA3's response. I'd be annoyed at the incompetence at the bank (HOA?) end but I would also remember that, to me, there are bigger things about which to be annoyed today.
JohnC46 (South Carolina)
Posts: 14,265
Posted:
Quote:
Posted By AugustinD on 09/04/2020 1:05 PM
Ditto CathyA3's response. I'd be annoyed at the incompetence at the bank (HOA?) end but I would also remember that, to me, there are bigger things about which to be annoyed today.

I agree.
JohnC77 (California)
Posts: 562
Posted:
This happens to us and after verified, the monies are refunded PROMPTLY!
JohnT38 (South Carolina)
Posts: 1,631
Posted:
Quote:
Posted By JohnC77 on 09/04/2020 2:12 PM
This happens to us and after verified, the monies are refunded PROMPTLY!

Same here.
LetA (Nevada)
Posts: 2,679
Posted:
Quote:
Posted By CathyA3 on 09/04/2020 1:00 PM
If it were me, I'd consider it a early payment for the coming month and let it go. It's not like I'd earn enough interest on that early payment to justify the time and aggravation of trying to get a refund. My time is worth more than that.

Is there a reason you don't want to do that?


Normally I would agree, amid this CV epidemic with reduced work hours and tight budgets there should be no argument and the overpayment refunded promptly.
TimB4 (Tennessee)
Posts: 21,059
Posted:
When I was treasurer, it depended on the circumstances.

Once, I received the years payment twice.
I walked the second check to the home of the individual, explained the double payment and simply returned the uncashed check (as this was for over $1,000).

Several times, I received excess payments for various reasons (late charges waived, incorrect amounts being filled in on checks, double payments). These were all on those who paid monthly. For those, I would post the payment as expected and inform the individual that they have a credit and the next payments due date and amount.

So, if I were your treasurer, I would follow your request after the check cleared (which can be two weeks).
I would also inform you of the time line and encourage you to simply apply the amount to the next months payment.
CathyA3 (Ohio)
Posts: 6,299
Posted:
Keep in mind that an accidental double payment of an annual assessment is different from a monthly one.

Both because of the dollars involved, and because you'd be crossing calendar/fiscal years. That annual pre-payment would have to be accounted for differently and carried on the books until the coming year. It's less work to refund it, and it will make the auditor happy.

With a monthly pre-payment, it's possible that by the time you wait for the pre-payment check to clear, request a refund check and then mail it to the homeowner, the homeowner will simply have to turn around a week later and send the money back. Too much work for too little benefit. And yes, I understand about covid-19 and many people being in financial distress right now - but that won't speed up the process, unfortunately.

🎯 You've read this entire discussion

Join the conversation with 50,000 HOA & Condo Leaders:

  • ✓ Ask follow-up questions
  • ✓ Share your experience
  • ✓ Get expert advice
  • ✓ Access 350,000 discussions
Create Free Account →

⚡ Takes 30 seconds

Already a member? Log in here