What must be true for a check to be considered insufficient funds under the law?

For a check to be considered insufficient funds under the law, it is essential that the writer must know there are insufficient funds when the check is drafted. This knowledge implies an understanding of the account balance at the time of writing the check. If the person writing the check is aware that their account does not have enough funds to cover the amount of the check, it indicates intent to commit a fraudulent act. This awareness is crucial because it demonstrates a level of deceit that is necessary for the legal classification of the act as having insufficient funds or bouncing a check.

Having a signature on the check, previously using the account, or endorsing the check before presentation are not relevant factors that determine whether the funds are insufficient. The primary issue revolves around the writer's knowledge of their account status at the moment the check is created, which aligns with legal standards regarding fraudulent checks and financial transactions.