A payee refers to a party on one side of a transaction who receives payment. He is paid either by cash, cheque, or by any other transfer medium by the payer. In return, the payer may receive goods or services. The name of the payee is mentioned on the bill of exchange. A payee is a person or entity that receives or is scheduled to receive a payment. The reason for the payment is a transfer of value from the payee to the payer. Definition and Examples of a Payee Payees receive funds from a payer. Payment can be in any form, including cash, a check, a money order, or an electronic transfer of funds. Payees can be friends you pay through Venmo, service providers you pay for insurance and utilities, merchants, or anyone else you need to pay. Learn what a payee is, how it works, & why it matters when it comes to your finances or business. Continue reading this article for more information.
