”NSF” stands for “insufficient funds”, and an NSF Fee is the fee that Banks and merchants charge you when you write a check that bounces or is returned as unpayable. An NSF Fee can be between $10 - $35 for each check that you write that is “returned” as unpayable. As an example, if you write a rent check for $300, but only have $200 in your account, when your landlord tries to deposit the check you write him, his bank will “return” it to him and tell him it is no good or uncashable. Your landlord and your bank can charge you for this inconvenience. Also, be aware that if you write too many checks that are “returned” as unpayable, you will likely get reported to ChexSystems and may lose your bank account privileges.
Related Terms: Returned Check Charge Check Cashing Fee