There is legal obligation for a banker to collect the bills of exchange for its customer.

Related MCQs

• Which of the following is/are true about bill of exchange? A) A bill of exchange requires in its inception two parties. B) A bill of exchange or “draft” is a written order by the drawer to the drawee to pay money to the payee. C) Bills of exchange are used primarily in international trade, and are written orders by one person to his bank to pay the bearer a specific sum on a specific date. D) Definition of ‘Bill of Exchange’ is mentioned in Section 6 of the Negotiable Instrument Act.
• When banker received deposits from the customer, then the banker becomes -------------- of the customer.
• When banker received deposits from the customer, then the banker becomes -------------- of the customer.
• When customer's account overdrawn or when customer has taken loan from banker, then the customer.
• It is a ----------------- obligation of a banker to honour the cheques of the customer drawn against current
• It is a ----------------- obligation of a banker to honour the cheques of the customer drawn against current account.
• In case of collection of cheques and bills, the relationship of the banker with the customer is that of
• In case a collecting banker has realized the cheque, he should pay the interest to the customer as per his (customer’s) direction.
• Special damages refers to damages payable by a banker to his customer for the actual ------------- loss suffered by customer.
• To get protection under Sec 131 of NI Act collecting banker should collect the cheque