Who is drawee in cheque

In a cheque transaction, the drawee is the bank or financial institution that is directed to pay a specific sum of money. When an account holder (the drawer) issues a cheque, they are essentially providing a written instruction to their bank (the drawee) to transfer funds to the person or entity named on the cheque (the payee). Key roles of the drawee include:

• Acting as an intermediary to facilitate the secure transfer of funds between parties.
• Verifying the drawer's signature and ensuring sufficient balance is available in the account.
• Deducting the specified amount from the drawer's account to honour the payment request.