A Promissory Note Payable to "Bearer" Is Not Negotiable

question 6

True/False

A promissory note payable to "bearer" is not negotiable.

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Definitions:

Payor Bank

The bank that is directed by a check or draft to pay a certain amount of money to the person or entity named on the check.

On-Us Item

A banking term referring to a check or draft that is presented for payment by the same bank upon which it is drawn.

Stale Check

A check that is not presented to a bank within six months of its date.

Uniform Commercial Code

A comprehensive set of laws governing all commercial transactions in the United States, intended to standardize and simplify the law relating to commerce.