Help.

I fix iPhones in my spare time. i take money up front but you have some customers that wanna see your work first so, I type a form & make customers sign it basically if you can’t afford my service up front, you have two days after i let you know that your phone is fix to give me my money or your phone is mines. Well this guy had a iPhone X. I charged him 250$. Guy say yea i bring you the money tomorrow.. blah blah blah. Never came. Guy reported the phone stolen. Police came to my door, but i wasn’t home my roommate was. Should i give the phone back? & take my L Or what.