NON-SUFFICIENT FUNDS - NSF

An acronym used in the banking industry to signify that there are "non-sufficient funds" in an account in order to honor a check drawn on that account. Colloquially, this is known as a "bounced check" or "bad check".

Banks normally charge a fee to the account holder for an NSF check. Depending on the bank's judgment, it may choose to honor the check, leaving the account holder with a deficit balance, or it may choose to refuse payment and return the check to the depositor.