What is the term for the person who signs a check or draft ordering payment to be made?

Get ready for the National Board Examination in Restorative Art. Use flashcards and multiple choice questions, complete with hints and explanations. Ace your test today!

Multiple Choice

What is the term for the person who signs a check or draft ordering payment to be made?

Explanation:
When you write a check, you’re authorizing payment from your own account. The person who signs and orders that payment is called the drawer. This term comes from the check being drawn on the drawer’s bank, with the drawer’s signature confirming the instruction to pay. The bank that pays is the drawee, and the person or entity who receives the funds is the payee. The other terms listed aren’t related to who signs a check, so they don’t fit.

When you write a check, you’re authorizing payment from your own account. The person who signs and orders that payment is called the drawer. This term comes from the check being drawn on the drawer’s bank, with the drawer’s signature confirming the instruction to pay. The bank that pays is the drawee, and the person or entity who receives the funds is the payee. The other terms listed aren’t related to who signs a check, so they don’t fit.

More Multiple Choice Questions
Subscribe

Get the latest from Passetra

You can unsubscribe at any time. Read our privacy policy