A return item chargeback is a fee Bank of America charges when a check you deposited bounces or is rejected by the other bank
When you deposit a check at Bank of America, the bank sends it to the other bank (the one that issued the check) for payment. If that bank refuses to pay — because the account is closed, the signature doesn't match, the amount was altered, or the account has insufficient funds — the check comes back unpaid. Bank of America then charges you a return item fee, usually between $10 and $25 depending on your account type, and reverses the deposit from your account.
This is different from a chargeback in the credit card sense. A credit card chargeback happens when you dispute a purchase with your card issuer. A return item is what happens when a paper check fails at the bank that issued it. The terminology can be confusing because Bank of America's statement may label it as a "return item chargeback" or simply "returned check fee," but the mechanism is the same: the check was rejected, you get charged, and the money comes back out of your account.
The fee hits your account within one to three business days of the check being rejected. If you were counting on that deposit to cover other transactions, those transactions may now overdraw your account, triggering additional overdraft fees.
Key Takeaways
- A return item chargeback is a fee Bank of America charges when a deposited check bounces or is rejected by the issuing bank.
- The fee ranges from $10 to $25 and is deducted from your account within one to three business days of rejection.
- The original deposit amount is reversed, so if you spent money based on that deposit, you may face overdraft fees on top of the return fee.
- You can contact the person or business who gave you the check and ask them to issue a new one or provide payment another way.
- If you believe the check was rejected in error, you can ask the check writer to contact their bank to investigate.
Why a check gets rejected and sent back
The most common reason is insufficient funds — the account that issued the check simply did not have enough money when the check was presented for payment. The second most common reason is a closed account: the person or business who wrote the check closed that account before you deposited it, or closed it shortly after writing it.
Other reasons include a mismatch between the signature on the check and the signature on file at the issuing bank, an alteration to the check amount or payee name, a stop payment order placed by the check writer, or a stale-dated check (one older than six months). Some checks are rejected because of a technical error — a missing routing number, an illegible account number, or a processing mistake — though these are less common.
When the issuing bank rejects the check, it sends it back through the clearing system to Bank of America with a reason code. Bank of America then notifies you, reverses the deposit, and charges the fee.
How the fee appears on your statement and what happens next
The return item fee will show on your Bank of America statement as a separate line item, often labeled "Returned Check Fee," "Return Item Fee," or "Chargeback Fee." The amount depends on your account type: checking accounts typically see $10 to $25, though some premium accounts may have lower fees or fee waivers.
At the same time, the original deposit amount is removed from your available balance. If you had already spent money based on that deposit — or if the deposit was the only thing keeping your account above zero — your account may now be overdrawn. Bank of America will charge an overdraft fee for each transaction that goes negative, which can compound the damage quickly.
You will receive a notice from Bank of America explaining the return, usually by mail or through your online banking portal. The notice includes the reason code from the issuing bank. Keep this notice; you may need it if you contact the person who wrote the check.
What to do if you receive a return item fee
First, contact the person or business who gave you the check. Explain that the check was rejected and ask them why. They may not know their account was closed or that they had insufficient funds. Ask them to issue a replacement check, send a wire transfer, or provide payment by another method — ACH transfer, credit card, or cash.
If they claim they have no idea why the check bounced, they can contact their own bank and ask for details. The issuing bank will provide a reason code and may be able to explain what went wrong. If it was a mistake on their bank's part, they can request that the check be re-presented, though this is rare.
Second, contact Bank of America and ask whether the return item fee can be waived. If this is your first return in several years, or if the check writer's error caused you genuine hardship, Bank of America may reverse the fee as a courtesy. There is no may provide, but it is worth asking, especially if you have maintained a good account history.
Third, if you were charged overdraft fees as a result of the returned check, ask Bank of America to review those as well. Some banks will waive overdraft fees that resulted directly from a returned deposit, particularly if the return was not your fault.
How to avoid return item fees in the future
Do not assume a check is good money until it has cleared. Bank of America typically shows a deposited check as available within one to two business days, but the actual clearing process can take longer. If you need to spend the money, wait at least three to five business days after deposit before relying on it.
If someone offers to pay you by check and you need the money urgently, ask for an alternative: a wire transfer, ACH transfer, or payment through a digital wallet like Zelle or PayPal. These methods clear faster and do not carry the risk of a bounce.
If you receive a check from someone you do not know well or from a business you have not dealt with before, be extra cautious. Ask for a phone number and verify the business exists before depositing. Fraudulent checks do happen, and while Bank of America's fraud detection catches many, some slip through.
The difference between a returned check and a fraudulent check
A returned check is legitimate but unpaid — the account exists, the check is real, but payment was refused for one of the reasons listed above. A fraudulent check is forged, altered, or issued by someone with no authority to do so. Both result in a return item fee, but the path forward is different.
If you suspect a check is fraudulent — for example, if someone you know claims they never wrote it, or if the signature looks obviously fake — report it to Bank of America immediately. Do not deposit it. If you already deposited it and it was rejected as fraudulent, Bank of America should flag it in their fraud system, and you may have additional protections under the Uniform Commercial Code.
If the check was simply unpaid due to insufficient funds or a closed account, the remedy is between you and the person who wrote it. Bank of America's role ends once the check is returned and the fee is charged.
Disputing a return item fee with Bank of America
You cannot dispute a return item fee the way you would dispute a fraudulent charge. The fee is legitimate — Bank of America incurred a cost when the check was rejected and had to reverse the deposit. However, you can request a waiver if you believe the fee was charged in error or if circumstances warrant it.
To request a waiver, contact Bank of America customer service by phone, through your online banking portal, or in person at a branch. Explain the situation: Was this your first return in years? Did the check writer's error cause you overdraft fees? Do you have a long history of good account standing? Bank of America has discretion to waive fees, and they exercise it more often for customers with clean records.
If Bank of America refuses to waive the fee and you still believe it was charged in error, you can file a complaint with the Consumer Financial Protection Bureau (CFPB) or your state's banking regulator. This will not automatically reverse the fee, but it creates a record and may prompt Bank of America to review the decision.
Frequently Asked Questions
Can I get the return item fee back if the check writer's bank made a mistake?
Bank of America will not automatically reverse the fee, but you can request a waiver. Ask the check writer to have their bank investigate and provide written confirmation of the error. Then contact Bank of America with that documentation and ask for a courtesy reversal. Success depends on the circumstances and your account history.
What if the check was postdated and I deposited it too early?
A postdated check should not be deposited before the date on it. If you deposited it early and it was rejected, that is technically your error, and Bank of America will likely not waive the fee. However, you can still ask — especially if the check writer did not clearly mark it as postdated or if you have a long account history.
Does a returned check hurt my credit score?
No. A returned check fee is a bank fee, not a credit event. It will not appear on your credit report or affect your credit score. However, if the returned check causes your account to go negative and you do not pay it back, Bank of America may report the debt to a collection agency, which would hurt your credit.
How long does it take for a check to be returned?
Most checks are returned within one to three business days of deposit. Some take longer if they are sent through multiple banks or if there is a processing delay. Bank of America will notify you once the return is final, and the fee will appear on your statement shortly after.
Can I deposit a check again if it was returned the first time?
No. Once a check is returned, it cannot be re-deposited through normal channels. If the check writer wants to make it good, they need to issue a new check or provide payment another way. If you re-deposit the same check, it will be rejected again and you will be charged another fee.