Demand Letter Requirements for Bouncing Checks in the Philippines

(A practitioner-oriented guide under Batas Pambansa Blg. 22 and related jurisprudence)

1. Why the Demand Letter Matters

A written notice of dishonor is not a mere courtesy; it is an indispensable element of the criminal offense of issuing a worthless check under Batas Pambansa Blg. 22 (BP 22) and, separately, of estafa by post-dated check under Article 315 § 2(d) of the Revised Penal Code (RPC).
Failure to prove that the drawer actually received (or constructively received and refused) a demand letter bars conviction—however strong the proof of issuance and dishonor may be.

2. Statutory & Jurisprudential Foundations

Provision	Key text on notice	Supreme Court pronouncements
BP 22, §2	Drawer must pay the amount “within five (5) banking days after receiving notice in writing that the check has been dishonored.”	Lozano v. Martinez (G.R. L-63419, 1986) made notice an element; Vaca v. CA (G.R. 131714, 1999) emphasized personal/registered modes; Domagsang v. CA (G.R. 139292, 2001) clarified constructive receipt.
RPC Art. 315 § 2(d)	Drawer must make good the check “within three (3) days from receipt of notice.”	People v. Ong (G.R. L-68884, 1987) and People v. Montaner (G.R. 181089, 2010) require proof the drawer was given both the three-day chance and that the check was post-dated.

Practice pointer: Cite the correct statute in the demand letter to avoid confusion—BP 22 for any dishonored check (whether dated or post-dated); RPC estafa only when the check was used to defraud (i.e., as inducement to part with property or money).

3. Timing Rules: “Five Banking Days” Explained

Count only banking days—exclude Saturdays, Sundays, and legal banking holidays.
Day 1 is the day after the drawer receives the notice.
Delivery on a Friday starts the count on the following Monday (if not a holiday).

Failure to pay within this window completes the offense; payment later may mitigate penalties but does not erase criminal liability.

4. Minimum Formal Contents of a Valid Demand Letter

Heading & address of the drawer (full name or corporate name plus responsible officers).
Statement of facts:
- Check number, date, drawee bank, amount.
- Date the bank dishonored it & reason (“DAIF,” “Account Closed,” etc.).
Unequivocal demand to:
- Pay/replace the amount in full (cash or bank-certified funds).
- Within five banking days (state both the statute and the exact cut-off date).
Consequences of non-compliance: Reference BP 22 (and RPC Art. 315 § 2[d], if applicable) and warn of civil and criminal actions.
Payment instructions: Where and to whom payment should be tendered, office hours, bank details.
Signature & authority:
- If payee is a corporation, indicate signatory’s position and attach board authority if available.
Attachments: Photocopy of dishonored check & bank’s return slip marked “DAR,” “DAUT,” etc.
Notarial acknowledgement (optional but recommended for evidentiary weight).

5. Modes of Service & Proof of Receipt

Mode	Best evidence at trial	Jurisprudential notes
Personal delivery	Receiver’s signed acknowledgment or affidavit of server; photo/video if refusal.	Receipt signature creates prima facie proof; refusal = constructive notice ( Domagsang).
Registered mail (PhilPost)	Registry receipt, affidavit of mailing, and returned registry card or post-office certification of refusal/unclaimed.	Court deems actual receipt on date shown on card or, for unclaimed, 5 days from first notice ( People v. Montaner).
Courier (LBC, JRS, DHL)	Airwaybill + delivery receipt bearing recipient’s signature.	Accepted if authenticity proved; safer to combine with PhilPost.
Electronic means	Only supplementary. Attach printed email/viber screen + affidavit.	Courts still require written physical notice; electronic may corroborate.

Tip: Serve through both personal service and registered mail on the same day. Duplicate service cures many later evidentiary gaps.

6. Common Pitfalls

Sending to an old address. Use drawer’s last known residence/business address and address on the check, if different.
Demanding in less than 5 days (or omitting the period). This forfeits the statutory grace.
Giving mere verbal notice. Courts reject phone calls/SMS as substitutes.
Failure to prove receipt. Always secure the registry return card or sworn refusal-to-receive.
Styling it a “collection letter” only. Must explicitly reference BP 22/RPC and the 5-day (or 3-day) period.

7. Effects of Non-Compliance with Notice Requirement

Scenario	Criminal case	Civil action on the check
No notice or unproved notice	Case dismissed or accused acquitted; prosecution fails to establish an element	Civil suit or sum-of-money action may still prosper under the Civil Code & Negotiable Instruments Law.
Demand sent but premature filing (within 5 days)	Information may be quashed; refiling allowed after period lapses.	Same civil remedies as above.

8. Contentious Issues & Evolving Practice

Corporate drawers: Liability attaches to the signatory (authorized or not) and to officers who actually signed the check; jurisprudence vacillates on officers who merely allowed issuance.
Reconciliation/partial payment: Some prosecutors allow withdrawal of complaint upon full payment before the filing of information. After filing, payment affects penalty (fine vs. imprisonment) but not guilt.
Alternative dispute resolution: The 2022 Re-engineered Katarungang Pambarangay Rules require a demand letter before barangay mediation for BP 22 cases within monetary threshold.

9. Model Demand Letter (for BP 22)**

[Payee Letterhead]
Date: 12 May 2025
To: Juan D. Cruz
Address: 123 Mabini St., Pasig City

Re: Notice of Dishonor and Final Demand – Check No. 123456, ₱150,000.00, China Bank, dated 30 April 2025

Dear Mr. Cruz:

Our bank returned the above-mentioned check on 6 May 2025 with the notation “DAIF” (Drawn Against Insufficient Funds).

**Pursuant to Batas Pambansa Blg. 22, you are hereby given **five (5) banking days from receipt of this letter, or until [insert exact deadline], to pay the full amount in cash or by cashier’s/manager’s check at our office, 8:30 a.m.–5:00 p.m., Monday–Friday.

Failure to comply will compel us to initiate criminal prosecution under BP 22 and/or estafa under Article 315 § 2(d) of the Revised Penal Code, as well as civil collection proceedings, without further notice.

Kindly contact undersigned at (02) 812-3456 for settlement.

Very truly yours,

[signature]
Maria R. Santos
Credit & Collections Manager
(Duly authorized per Board Resolution No. 2025-10-05)

NOTARY PUBLIC

Attach: (1) Photocopy of dishonored check; (2) Bank Debit Memo/Return Slip.

10. Checklist Before Filing a BP 22 Complaint

✔ Check and bank slip photocopied (front & back).
✔ Original demand letter signed and, if notarized, with seal.
✔ Registry receipt and returned registry card (or courier proof) showing date of receipt/refusal.
✔ Computation of five banking days and certification of holidays (if any).
✔ Affidavit of complainant narrating service details and non-payment.
✔ ID of complainant and verifications required by the Office of the Prosecutor.

Key Takeaways

No notice, no BP 22 case—the demand letter is jurisdictional to criminal liability.
Service must be in writing, received, and give exactly five banking days (or three under estafa).
Combine registered mail and personal delivery, keep all receipts, and notarize for extra weight.

Drafting and serving a compliant demand letter is inexpensive insurance against outright dismissal. Invest the time to do it right; your future case may depend on a single registry card.