when a cheque is paid on a bank on which it is drawn, the cheque is
Answer Details
When a cheque is paid on a bank on which it is drawn, the cheque is cleared. This means that the bank has verified that the account on which the cheque was drawn has sufficient funds to cover the amount stated on the cheque. Once the cheque is cleared, the bank will debit the account of the person who wrote the cheque and credit the account of the person or organization who received the payment. The funds will then be transferred from the account of the person who wrote the cheque to the account of the person or organization who received the payment. This process usually takes a few days to complete.