A person with a bank account writes a bad check (also known as a non-sufficient funds or NSF check) when he deliberately or with knowledge writes a check for an amount of funds he knows are not available in the account. The crime of writing a bad check may also occur when a person writes a check on an account that has been closed. Another bad check scheme that may result in criminal charges occurs when an account holder writes a check for an amount in excess of the funds in the account, and deposits the check in a second account (often at a different bank)—and then withdraws the funds from the second account before the check is presented to the first bank for payment.

Bad check laws vary from state to state, and are usually located in the state’s penal or criminal code (statutes). Banks and criminal prosecutors recognize that a person can inadvertently write a check for more than the funds on deposit in their account, and not every instance will result in criminal charges. But many state laws have an expansive definition of the required knowledge or deliberate intent to write a bad check, and a criminal prosecutor does not have to prove a defendant charged with a bad check offense knew exactly how much money was in the account when the defendant wrote the check to prove the defendant knew he was writing a bad check or deliberately wrote a bad check.

In Michigan, writing a bad check, also known as a non-sufficient funds (NSF) check, can lead to criminal charges under certain circumstances. Michigan law considers it a crime to write a check when a person knows that there are insufficient funds in their account, or if the account is closed. This is outlined in the Michigan Penal Code (MCL 750.131 et seq.). The crime can range from a misdemeanor to a felony, depending on the amount of the check and other factors. For checks less than $100, it may be treated as a misdemeanor with penalties including fines and possible jail time. For larger amounts, the offense can be a felony with more severe penalties. The law also covers situations where an individual writes a check for more than the account balance, deposits it into a second account, and withdraws the funds before the check clears. While not every instance of a bounced check is prosecuted criminally, repeated offenses or evidence of intent to defraud can lead to charges. Prosecutors do not need to prove the exact balance in the account at the time the check was written, only that the individual knew there were insufficient funds and deliberately wrote the check.