Check Representment

Check Representment

A method whereby checks from accounts with insufficient funds are repeatedly deposited until funds are available.

Notes:

While the process of check representment is complicated, simply put, the bad check is held and the customer's account is tracked until the necessary funds to cover the check are deposited. Once deposited, the amount that the check was drawn for is removed.

This is good for both consumers and retailers. It protects consumers from being charged an NSF fee should there be a delay in a necessary deposit to cover a written check. And, it protects retailers by allowing them to collect upon bad checks from customers that have already received merchandise.

See also: Bounced Check, Cashier's Check, Check, Rubber Check, Stop Payment