diff --git a/CHANGELOG.md b/CHANGELOG.md
index 696d68345..395454b41 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -2,6 +2,9 @@
 
 ## Current Master
 
+- No longer validate nonce client-side in retry loop.
+- Fix bug where insufficient balance error was sometimes shown on successful transactions.
+
 ## 3.8.4 2017-7-7
 
 - Improve transaction resubmit logic to fail more eagerly when a user would expect it to.
diff --git a/app/scripts/controllers/transactions.js b/app/scripts/controllers/transactions.js
index c0d4841a9..43735a691 100644
--- a/app/scripts/controllers/transactions.js
+++ b/app/scripts/controllers/transactions.js
@@ -447,27 +447,16 @@ module.exports = class TransactionController extends EventEmitter {
   _resubmitTx (txMeta, cb) {
     const address = txMeta.txParams.from
     const balance = this.ethStore.getState().accounts[address].balance
-    const nonce = Number.parseInt(this.ethStore.getState().accounts[address].nonce)
-    const txNonce = Number.parseInt(txMeta.txParams.nonce)
-    const gtBalance = Number.parseInt(txMeta.txParams.value) > Number.parseInt(balance)
     if (!('retryCount' in txMeta)) txMeta.retryCount = 0
 
     // if the value of the transaction is greater then the balance, fail.
-    if (gtBalance) {
+    if (!this.txProviderUtils.sufficientBalance(txMeta.txParams, balance)) {
       const message = 'Insufficient balance.'
       this.setTxStatusFailed(txMeta.id, { message })
       cb()
       return log.error(message)
     }
 
-    // if the nonce of the transaction is lower then the accounts nonce, fail.
-    if (txNonce < nonce) {
-      const message = 'Invalid nonce.'
-      this.setTxStatusFailed(txMeta.id, { message })
-      cb()
-      return log.error(message)
-    }
-
     // Only auto-submit already-signed txs:
     if (!('rawTx' in txMeta)) return cb()
 
diff --git a/app/scripts/lib/tx-utils.js b/app/scripts/lib/tx-utils.js
index 149d93102..4e780fcc0 100644
--- a/app/scripts/lib/tx-utils.js
+++ b/app/scripts/lib/tx-utils.js
@@ -118,6 +118,15 @@ module.exports = class txProviderUtils {
     }
   }
 
+  sufficientBalance (tx, hexBalance) {
+    const balance = hexToBn(hexBalance)
+    const value = hexToBn(tx.value)
+    const gasLimit = hexToBn(tx.gas)
+    const gasPrice = hexToBn(tx.gasPrice)
+
+    const maxCost = value.add(gasLimit.mul(gasPrice))
+    return balance.gte(maxCost)
+  }
 
 }
 
diff --git a/test/unit/tx-utils-test.js b/test/unit/tx-utils-test.js
index 7ace1f587..a43bcfb35 100644
--- a/test/unit/tx-utils-test.js
+++ b/test/unit/tx-utils-test.js
@@ -16,6 +16,44 @@ describe('txUtils', function () {
     }))
   })
 
+  describe('#sufficientBalance', function () {
+    it('returns true if max tx cost is equal to balance.', function () {
+      const tx = {
+        'value': '0x1',
+        'gas': '0x2',
+        'gasPrice': '0x3',
+      }
+      const balance = '0x8'
+
+      const result = txUtils.sufficientBalance(tx, balance)
+      assert.ok(result, 'sufficient balance found.')
+    })
+
+    it('returns true if max tx cost is less than balance.', function () {
+      const tx = {
+        'value': '0x1',
+        'gas': '0x2',
+        'gasPrice': '0x3',
+      }
+      const balance = '0x9'
+
+      const result = txUtils.sufficientBalance(tx, balance)
+      assert.ok(result, 'sufficient balance found.')
+    })
+
+    it('returns false if max tx cost is more than balance.', function () {
+      const tx = {
+        'value': '0x1',
+        'gas': '0x2',
+        'gasPrice': '0x3',
+      }
+      const balance = '0x6'
+
+      const result = txUtils.sufficientBalance(tx, balance)
+      assert.ok(!result, 'insufficient balance found.')
+    })
+  })
+
   describe('chain Id', function () {
     it('prepares a transaction with the provided chainId', function () {
       const txParams = {