The establishment of charges that are imposed by a bank, trust company, savings bank, savings and loan association or licensed branch of a foreign banking corporation (collectively for purposes of this Part a “banking institution”) in connection with a check drawn or other written order upon, or electronic transfer sought to be effectuated against, insufficient funds or on uncollected balances, irrespective of whether the check, order or electronic transaction (collectively for purposes of this Part “item”) is paid, accepted or returned by the banking institution is a business decision to be made by each bank institution in its discretion, according to sound banking judgment and safe and sound banking principles. A banking institution shall be deemed to have reasonably established such charges if it considered the following factors, among others:

In establishing charges under this subdivision, a banking institution may consider the nature of the account and may determine to establish different charges for an account that is opened and maintained primarily for personal, household or family purposes than for an account that is not, and, in determining such charges, may also consider whether the item is to be paid, accepted or returned.

The maximum charge which may be imposed by a bank, trust company, savings bank, savings and loan association or licensed branch of a foreign banking corporation in connection with a check or other written order received by it for deposit or collection and subsequently dishonored and returned for any reason by the drawee is $10.