National Check Professional (NCP) Certification Practice Test

What is the role of the Drawer in a check transaction?

1. To endorse the check

2. To write the check to someone else out of their account

3. To verify the signature

4. To provide funds for the transaction

The correct answer is: To write the check to someone else out of their account

The Drawer is the individual or entity that writes the check. In doing so, the Drawer instructs their bank to pay a specific sum of money from their account to the payee, who is the individual or entity receiving the check. By writing the check, the Drawer initiates the transaction and determines both the amount payable and the beneficiary. This role is vital because it establishes the source of funds for the transaction—ensuring that there are adequate funds available in their account to cover the check amount. The process starts with the Drawer writing the check to a specific payee, thereby transferring the responsibility for that amount from themselves to the payee once the check is cashed or deposited. Understanding this role is crucial for anyone studying check transactions, as it lays the foundation for concepts surrounding checks, such as validity and processing.