Beginning May 9, 2011, DMV will suspend vehicle registrations and/or cancel driving privileges for returned checks written for services after April 4, 2011. Action will be taken against individual customers and businesses who received services paid for by a returned check. In addition, individual and business customers who present checks that are returned to DMV will not be allowed to submit a check for any DMV services and a “cash only” alert will be placed on the customer’s record for three years from the date all check fees are paid.

Once the DMV receives the returned check notification, the check-writer will be notified by mail that he or she has 20 calendar days to pay the outstanding fees. If the customer does not pay the fees within the allotted time period, DMV will send a second letter to the customers receiving the service indicating that the suspension and/or cancellation action will take place in 30 calendar days for failure to remit fees.

To clear the vehicle registration suspension or cancellation of driving privileges, the customer must pay the outstanding fees owed for that service as indicated in the notification letter. Customers may remit payment by mail to the Headquarters Finance Department or in person at a DMV office. DMV does not accept cash by mail and will not accept checks from a third party to cover services for “cash only” customers.

DMV will notify the South Carolina Department of Revenue (DOR) regarding customers that have not remitted payment for a returned check. DOR may collect money for a customer’s unpaid check through his or her state tax refund. Customers who are reported to DOR may request a hearing.

Correspondence sent to customers will inform them of the procedures required to clear the registration suspension and/or driving privilege cancellation as well as their right to a hearing.  Customers who have questions regarding a vehicle registration suspension and/or cancellation of driving privileges resulting from the failure to remit fees for a returned check should contact the DMV Contact Center at (803) 896-5000 or email help@scdmvonline.com.

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1.       What is different about how DMV handles returned checks?

Beginning May 9, 2011, DMV will suspend customer vehicle registrations and/or cancel driving privileges for services received with returned checks written after April 4, 2011. Customers who present checks that are returned to DMV will not be allowed to write a check for any DMV services and a “cash only” alert will be placed on the customer’s record for three years from the date of clearance.

2.       What forms of payment will DMV accept from a customer with a “cash only” alert?

DMV will accept cash, a credit or debit card, cashier’s check, certified check or money order from “cash only” customers. DMV will not accept checks from a third party to cover services for “cash only” customers.

3.       How will I know if I’ve written a check that has been returned to DMV?

You will be notified by letter that you must clear the returned check within 20 calendar days of the date on the letter.

4.       What if I don’t pay the outstanding fees within 20 calendar days?

If you do not pay the fees within the allotted time period, DMV will send a second letter to all the customers who received a service with the check indicating that the suspension and/or cancellation action will take place in 30 calendar days of the date on the letter.

5.       What do you mean when you say the vehicle registration and/or driving privilege cancellation action will be taken against the “customer who received a service with the check?”

For example, if a mother writes a check for her son’s driver’s license renewal and for renewal of her registration fees, the mother may receive two letters:  the first will notify her of the returned check, and the second will be a notice of registration suspension.  The son will also receive a letter of notification to cancel his driving privileges since he received a service paid for by a returned check.

6.       How can I clear the vehicle registration suspension and/or cancellation of driving privileges?

To clear the vehicle registration suspension and/or driver license cancellation, the outstanding fees for that service must be paid in full. The vehicle registration suspension cannot be cleared by surrendering the license plate.

7.       Where should I pay the fees?

You may remit payment by mail to the Headquarters Finance Department or in person at a DMV office. DMV does not accept cash or debit/credit card payments by mail.  When paying by mail, payment should be submitted to the following address:

                  SC Department of Motor Vehicles

                  Attn:  Dishonored Check

                  P.O. Box 1029

                  Blythewood, SC  29016

8.       Will DMV do anything else to collect the outstanding fees?

DMV will notify the Department of Revenue (DOR) regarding customers that have not remitted payment for a returned check. DOR may collect money for a customer’s unpaid check through his or her state tax refund.

9.       What if I think my bank made a mistake?

Customers may contact the number on their notice letter to obtain additional information.

10.   Will I be able to get a refund for a transaction not related to the returned check?

If you request a refund but have outstanding fees, the refund amount will first be applied to the outstanding fees. Any remaining refund amount will be mailed to you.