NSF is colloquially known as what?

NSF is colloquially known as what?

• A. Overdraft
• B. Bounced check
• C. Late fee
• D. Stop payment

Answer: (B)

NSF means there aren’t enough funds in the account to cover a transaction. When that happens to a check, the check is returned unpaid and is described in everyday language as a bounced check. That makes “bounced check” the correct colloquial term for NSF. The other terms refer to different situations: overdraft is when you spend more than is available and the bank covers it (often with a fee), late fee is charged for paying late, and stop payment is a request to the bank not to honor a check you’ve issued.

NSF means there aren’t enough funds in the account to cover a transaction. When that happens to a check, the check is returned unpaid and is described in everyday language as a bounced check. That makes “bounced check” the correct colloquial term for NSF.

The other terms refer to different situations: overdraft is when you spend more than is available and the bank covers it (often with a fee), late fee is charged for paying late, and stop payment is a request to the bank not to honor a check you’ve issued.