What does NSF stand for in banking terms?

Non-Sufficient Funds, commonly abbreviated as NSF, refers to a situation in banking where an account does not have enough available balance to cover a transaction, such as a check or debit. When a bank receives a request to withdraw more money than is available in the account, it will typically reject the transaction, leading to an NSF charge or fee. This term is crucial for individuals and businesses managing their finances because it helps to understand the implications of insufficient funds and the potential fees that may accrue as a result of these situations.

The other options do not accurately represent the commonly used banking terminology. National Savings Fund and Noteworthy Savings Fund are not established terms in banking, and while a Normal Service Fee might refer to standard charges for maintaining an account, it is not associated with the specific condition of having insufficient funds.