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Small claims and stop serving them? Depends on what it is for.
Ask him for cashier checks and if not, small claims court.
Yeah, the bank can’t do anything, he either has the funds or doesn’t. They are just facilitating a requested transaction if it’s within their ability to facilitate. Lack of funds isn’t their problem. Also, the cops can’t do anything. He didn’t steal from you, you gave to him with the expectation you’d get something in return. So to everyone’s point, that’s a contract law issue more than anything else. Which means lawyers and small claims court if you are trying to recover your funds.