What happens to the payer's account when a cheque is presented for payment?

When a cheque is presented for payment, the amount of the cheque is debited from the payer's account. This means that the bank processes the transaction by withdrawing the specified amount from the payer's account to pay the recipient of the cheque. This is a standard procedure in banking, reflecting the functionality of cheques as a means of transferring funds from one party to another.

When the cheque is presented, the bank verifies that the payer has sufficient funds available in their account to cover the amount of the cheque. If the funds are available, the transaction is authorized, and the corresponding amount is deducted, ensuring that the payer's account balance reflects this withdrawal. This process is crucial for keeping the banking system efficient and ensuring that transactions are accurately recorded.

The other options provide different scenarios that do not accurately depict the standard operation of cheque payments. A fee may be charged in certain circumstances, but that does not happen simply by presenting a cheque. The statement that the payer's account remains unaffected is incorrect because the core function of a cheque is to deduct funds from the payer's balance. Noting a cheque as outstanding applies to cheques that have been issued but not yet presented for payment, which is not relevant when discussing what happens at the moment a cheque is presented