A Bounced Check is slang for a check that cannot be completed because the account holder has nonsufficient funds (NSF) to cover the transaction. Instead of recognising these checks, banks return them, often known as rubber checks, and charge the check writers NSF costs. Passing bad checks is a crime that can vary from a misdemeanour to a felony, depending on the amount involved and whether the behaviour includes crossing state boundaries.Bounced checks have serious consequences for both individuals and businesses. For consumers, bouncing a check can mean late fees from creditors, penalties from utilities companies or even having your car repossessed. In addition to financial repercussions, there are also criminal penalties associated with writing bad checks including fines and jail time. Businesses that accept bounced checks as payment may face similar financial penalties as well as damage to their reputation if customers learn they were doing business with a company that doesn't honour its commitments.
