The payor bank, also called the drawee, is the bank that has been ordered or instructed to make payment. Article 4, Part 3 sets forth various rules governing the rights, duties, and liabilities of payor banks. In this lesson, we’ll highlight several of these rules. For an in-depth exploration of these rules and more, please refer to Quimbee’s comprehensive payment systems outline.

I. Presentment

The final step in the collection process is presentment. Presentment means making a demand for...