Raul wants to transfer a check to Schmidt. The check is defective if it
A)is clearly stamped "insufficient funds."
B)contains handwritten terms.
C)is undated.
D)is payable to alternative or join payees.

Question

Quizplus · Accepted Answer

A check is considered defective if it is clearly stamped "insufficient funds," as this indicates the drawer's bank account does not have enough money to cover the amount of the check, making it non-negotiable or problematic for the payee.

Raul Wants to Transfer a Check to Schmidt