If the drawer does not have enough money in his or her account when a properly payable check is presented for payment, the payer bank is obligated to honor the check and create an overdraft in the drawer's account.

Question

Quizplus · Accepted Answer

If the drawer does not have enough money in their account, the payer bank is not obligated to honor the check and may return it as insufficient funds. Creating an overdraft would require prior agreement between the drawer and their bank.

If the Drawer Does Not Have Enough Money in His