The bank is the drawee on a check and has no liability until it has accepted the instrument.

Name: The bank is the drawee on a check and has no liability until it has accepted the instrument.
Brand: Quizplus
Rating: 4.7 (38 reviews)

Question

Quizplus · Accepted Answer

This is true. The drawee bank only becomes liable after it has accepted the check or draft by signing it, indicating its agreement to pay the amount stated on the instrument. Until acceptance, the bank has no obligation or liability.

The Bank Is the Drawee on a Check and Has