Suppose your bank honors a check for which you don't have sufficient funds in your checking account. this action means that you've arranged beforehand for a/an loan. a. overdraft b. mortgage c. installment d. personal

The correct option is A.
An overdraft is a banking arrangement, which allows a particular bank customer to continue to withdrawal money even though his account has no fund in it or it has insufficient fund. Prior agreements are often in place before a customer can have access to overdraft and the interests are often within normal range if the amount overdrawn is within the agreed overdraft limit.