How to Handle Bounced Checks / NSF Payments?

A bounced check (or NSF—Non-Sufficient Funds) occurs when a payment cannot be processed because the payer’s account does not have enough available funds, or the bank is unable to honor the check for other reasons. When this happens, the payment must be marked as NSF in the system so the invoice is reverted back to unpaid and any applicable NSF fees can be applied.

This article explains how to configure NSF fee settings and how to record and process an NSF payment in ManageCasa.

Set Up Default NSF Fee Settings (Optional)

You can configure default NSF fee rules to streamline future processing. To set up NSF fee settings:

• In the upper right corner, click your Profile Avatar
• Go to Settings → Account Settings
• Locate and open Show Late and NSF Fee Settings
• Click Set Default Settings to configure your NSF fee setup

From there, you can configure the following:

• Enable Has NSF Fee setting
• Account: Select the ledger account where NSF fees will be posted
  ─ You may create a new account if needed
• NSF Fee Type: Choose whether the fee is a Flat Fee or Percentage
• NSF Fee Amount,%: Enter the fixed amount or percentage to be applied as the NSF fee

How to Record or Apply an NSF Fee?

To mark a payment as NSF and apply the associated fee:

• From the left menu, click Transactions
• In the top tabs, click Transactions again
• Locate and open the transaction you want to mark as NSF
• If the payment has not yet been recorded, click Create Payment on the right side and complete the payment details first
• Once the payment is recorded, from the payment record, click Mark NSF

• A form will then appear below with the following fields:
  ─ Account
  ─ NSF Fee Type
  ─ NSF Fee Amount
  ─ Posting Date

  NOTE: If you have already configured NSF fee settings, these fields will be auto-filled, but you can still modify them as needed.

• Once all required fields are completed, click Confirm

Once confirmed, the invoice is automatically set back to Unpaid, the payment record is labeled as Failed (NSF), and an NSF fee line item is automatically added to the invoice.

Need Help?

If you have any questions or need further assistance, feel free to reach out to the ManageCasa Support Team or visit our Help Center for more guides and troubleshooting steps. We’re always here to help!