Thanks for reaching out to the Community, dlm0502.
 

If a check you wrote bounces, it's because your account has non-sufficient funds (NSF), or doesn't have enough money to cover the check amount. When this occurs, your bank charges you an NSF or bank fee. How you plan to handle these fees includes how to handle the accounting side of things.
 

Here's what to do if your check bounced, but the financial institution covered it and charged you a bank fee:
 

1. Use your + New button, then go to Expense.
2. From the Payee ▼ drop-down list, choose a vendor if your bank charged it to them, or specify the financial institution if they charged it to your account.
3. In the Payment account ▼ drop-down, pick your account used to pay expenses.
4. To distinguish it from other expenses, enter "NSF fee" in the Ref no. field.
5. Under your Category column, click choose Bank Charges.
6. Enter the amount you were charged for.
7. Select Save.

If your check bounced, the financial institution didn't cover it, and your vendor returned the check without redepositing it, or your check bounced, the bank didn't cover it, and your vendor keeps redepositing the check, review your additional scenarios in our What to do if your check bounces and your bank account has non-sufficient funds article.
 

I'll be here to help if there's any additional questions. Have an awesome Thursday!