Non-Sufficient Funds (NSF)

Note: You must have the authority, "Non-Sufficient Funds," (Billing group) to process this cash adjustment.

This type of an adjustment is made when a client's check has been returned due to lack of funds. To apply this type of adjustment, follow the steps outlined below.

1. Access the policy, and click Billing from the Quick Links Tree View.

2. Choose Non-Sufficient Funds from the Adjustment combo box.

3. Enter the dollar amount.  

4. Accept button.

5. The Statement Display screen returns. The payment is automatically reversed, and a statement line is added.

In accounts receivable, the Total Outstanding field is updated.

Non-Sufficient Funds: The Rules

When an NSF Adjustment is made against an insured's account, any Miscellaneous or Service Charge payments related to that check must also be adjusted by making an NSF Adjustment on each individual transaction.