1. Types of notions of negotiable instruments are ?
There are three main types of negotiable instruments:
1. Promissory notes: A promissory note is a written promise from one party (the maker) to pay a certain amount of money to another party (the payee) at a specified time in the future. Promissory notes are commonly used in personal loans and business transactions.
2. Bills of exchange: A bill of exchange is a written order from one party (the drawer) to another party (the drawee) to pay a certain amount of money to a third party (the payee) at a specified time in the future. Bills of exchange are typically used in international trade transactions.
3. Cheques: A cheque is a written order from a bank account holder (the drawer) to their bank to pay a certain amount of money to the person or entity named on the cheque (the payee). Cheques are commonly used for everyday financial transactions.