Asked by Mireille Mathieu Ebode Nkoudou on May 16, 2024
Verified
A bank involved in the check collection process may only be classified as one type of bank during the entire process.
Check Collection Process
The procedure by which banks handle the transfer and clearing of checks from the payee's bank to the issuer's bank, ensuring payment.
- Distinguish and understand the various functions and duties of banks within the process of collecting checks.
Verified Answer
TI
Tennille IronsMay 17, 2024
Final Answer :
False
Explanation :
A bank involved in the check collection process can act as both the depository bank (the bank at which the check is first deposited) and the paying bank (the bank on which the check is drawn), depending on the transaction.
Learning Objectives
- Distinguish and understand the various functions and duties of banks within the process of collecting checks.