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Is there a limit to how many times a bank can run an insufficient check through for payment and collect an NSF fee?

April 26, 2017Bank collect fee insufficient limit NSF payment run times

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Is there a limit to how many times a bank can run an insufficient check through for payment and collect an NSF fee?

1 Answer

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The general practice for submitting a check is two times through the automated clearing process. The item can also be sent as an electronic item via the ACH network one time. After that, items are generally handled on a “collection basis” and result in higher fees.