Non Sufficient Funds Law and Legal Definition
When there are 'Non Sufficient Funds' (NSF) in the account, a demand for payment cannot be honored. When the amount written on the check exceeds the available balance in the account, the check becomes dishonored. Non-sufficient funds are often referred to as a bad check, a "bounced" check, a rubber check, or a dishonored check. If you have insufficient funds in your account to cover a check, the term 'Non-sufficient funds' appear on your statement. In such cases you will be charged a service fee for non-sufficient funds. A Bad Check Restitution Program exists in many jurisdictions that allow recipients of bad checks to collect the funds from the local district attorney's office, regardless of the amount. However, these programs have become controversial. When a check is dishonored, the recipient may take action against the writer. The action that is taken may be civil or criminal, depending on the amount of the check and the governing laws in the jurisdiction where the check is written.
Legal Definition list
Related Legal Terms
- Ab Abusu Ad Usum Non Valet Consequentia
- Ab Assuestis Non Fit Injuria
- Absoluta Sententia Expositore Non Indiget
- Accessorium Non Ducit Sed Sequitur Suum Principale
- Actus Me Invite Factus Non Est Meus Actus
- Actus Non Facit Reum Nisi Mens Sit Rea
- Ad Quaestiones Facti Non Respondent Judices; Ad Quaestione Legis Non Respondent Juratores
- Additional Funds Needed [AFN]
- Administration De Bonis Non
- Administration De Bonis Non Cum Testamento Annexo
