Insufficient funds


Also found in: Dictionary, Thesaurus, Medical, Acronyms, Encyclopedia.

Insufficient Funds

A situation in which one does not have enough deposited in a bank account to cover all checks and/or electronic withdrawals. For example, if Bob writes Joe a check for $200, but there is only $175 in Bob's account, Bob has insufficient funds in his bank account and the bank likely will refuse to transfer the funds to Joe's account. However, some banks make requested transfers with insufficient funds but assess an overdraft fee on the account holder. This is especially true with electronic transactions. See also: Bounce.

Insufficient funds.

If you don't have enough money available in your checking account to cover the checks you've written or electronic debits you've authorized, you have insufficient funds (ISF) or nonsufficient funds (NSF).

A check written against insufficient funds is informally called a returned check, a bounced check, or a bad check. If you write one, your account is considered overdrawn.

Unless you have overdraft protection, which is a line of credit linked to your checking account, your bank will charge you an NSF fee, usually $20 to $35 per check.

The check or an electronic copy is returned unpaid to the person who deposited it. The payee's bank may also charge a fee for depositing a check written against insufficient funds.

References in periodicals archive ?
In the area of industry in the period of 2005-2009 in comparison to the period of 20012005, insufficient funds and other not categorized barriers became a more serious barrier of development.
A state court of appeals recently considered a vendor's fraud claim against a corporate bookkeeper for signing checks when there were insufficient funds. In that case, the bookkeeper signed two checks for payment to a vendor that later bounced.
A check drawn on an account with insufficient funds may or may not be honored by the paying bank.
causing and permitting the Company to misuse bank accounts held with Northern Bank by tendering 37 cheques with a value of Au43,677 during the period July 2008 to September 2010 without due regard to their being honoured on presentation and by providing insufficient funds to honour 21 standing orders (the corresponding values of these were not noted in the bank statements) and 13 direct debits with a value of Au5,431 during the period January 2008 to February 2011.
Such was the dire financial situation of the company, when the administrators were called in, employee salaries for August 2013 will not be paid due to insufficient funds.
THE Supreme Court has stressed that a person facing prosecution in cheque bounce cases following a stop payment instruction can avoid trial by proving that the instruction was issued for a valid reason including non existence of any debt and that the dishonour of the cheque was not due to insufficient funds.
Under a new charge regime that is to come into effect in March, the bank's Cash Card bank accounts will be charged up to GBP24 a day if they have insufficient funds. The Cash Card account is designed for low-income groups.
Interior Minister Tsvetan Tsvetanov explained his request with the insufficient funds to meet the heating costs of the temporary accommodation
RAWALPINDI, May 23, 2011 (Frontier Star): The five ambulances of three Allied hospitals situated in Rawalpindi have become out of order and hampering the shifting of patients while the Administration has insufficient funds to repair these ambulances.
An attempt was then made to buy pounds 180 worth of poker chips but the transaction did not proceed because of insufficient funds in his account.
He added: "The Scottish government claim they've provided sufficient funds for councils to maintain teacher numbers, while counci ls say they have insufficient funds for that."
The sentence was for signing a cheque that had bounced due to insufficient funds. His bail was also cancelled.

Full browser ?