Many times most people do not think too seriously of writing a bad check. Some do not even care about the $20-$30 service fees assessed when one of their checks gets returned for non-sufficient funds or NSF as it is commonly known. In some cases, if the bank can prove that a person is intentionally writing bad checks,it can go after the writer for fraud. Repeated writing of NSF checks can also be reported on a person’s credit rating so it is wise to take measures to help reduce and prevent the risk of being negatively affected by a NSF check.
The best way to keep yourself protected from writing a bad check is to make sure that you always keep your checkbook balanced and up to date. That means as soon as you withdraw money from an ATM, do an internet transaction, or write a paper check, make sure that it is recorded in your checkbook register. Some have suggested that you even round the cents up to the nearest whole dollar as you record the transaction in your register to avoid running into a NSF situation over a few pennies. This might cause some problems when balancing your checkbook but it puts you at a very low risk of writing a bad check.
Also, it is a good idea to get a checking account with overdraft protection. This does not mean that the bank will not charge you a service charge when the NSF check reaches the bank. The advantage is that the bank will honor the check and then turn around and assess a $20-$30 service fee on you. If you continue to write the NSF checks even with overdraft protection the bank could frown on this and close your account. Not only that, it could get very expensive for you and it is a sad waste of money.
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