How to Avoid Bounced Checks in Your Checking Account

A bounced check occurs when a check from your account is received by the bank, yet there are insufficient funds in your checking account to cash the check. There are steep fees associated with bounced checks. How can you avoid this?

Difficulty: Moderately Easy

Instructions

Things You'll Need:

• Checking account
• Calculator
• Checkbook register
• A place to store receipts

1. Keep your checkbook account register updated at all times. Each time you write a check, enter it into the register.

2. Save receipts for all debit card purchases and ATM withdrawals and enter these into the checkbook register daily.

3. Be sure to subtract fees for on-line payments, and automatic bill payments.

4. Doublecheck your math with a calculator.

5. When you view your checking account balance, remember that some online payments may not have cleared yet, as well as some of the checks that you have written may not have reached the bank yet.

6. Ask your bank if they offer overdraft protection. This may be helpful in the event you make a mistake and are overdrawn. This will temporarily put money into your checking account without incurring penalty fees.