A person, and a promissory note, has only two basic parties, the drawer (the drawee and the drawer, the same person) and the payee. (2) a check must have a financial relationship between the drawer and the payer to issue a check; the drawer of the bill of exchange and the drawee d...
This cheque is payable by the drawee bank over the counter to the Bearer or presenter of the cheque. A Bearer cheque can be negotiated or pass to another person by mere delivery. In other words, the holder (or the Transferer), when giving it to another person need not endorse the chequ...
A bank draft is a payment instrument that is issued by the bank at the request of the payer. The drawer is the bank writing out the bank draft, thedraweeis the bank’s customer who is requesting the draft to make a payment and the payee is the party that receives payment. A bank dr...
therefore drawer of a bank draft is the customer’s bank. The account holder who requests a bank draft to be drawn up is known as thedraweeand the party receiving payment is known as thepayee. One issue with
The following are the points of distinction between a promissory note and a bill of exchange: 1. In a promissory note, there are only two parties—the maker (debtor) and the payee (creditor). In a bill of exchange, there are three parties, namely, drawer, drawee and payee; though two...
Stale Cheque refers to a cheque which is expired because it is held by the payee for too long. So, it cannot be honoured and is of no use to the payee. In finer terms, a stale cheque is one that is presented for payment by the payee, at the drawee bank for encashment, but not ...
Payee: Party to whom the amount is transferred. In demand draft, drawer and drawee are basically two different branches of the same bank, however, the payee is the third party, to whom the payment is to be made. Also Read:Difference Between Banker’s Cheque and Demand Draft ...