Endorsement is a procedure that the payee or holder of a bill signs or writes sentences on the back of the bill when transferring it.

"Sign on the back" depends on how you sign, as follows:

If the name of the payer or the name of the payer is recorded in the endorsement, it is called "registered endorsement";

If the name of the payer or the name of the payer is not recorded, it is called "bearer endorsement".

The endorser is responsible for ensuring the payment of the drawer when the bill is transferred by endorsement. If the drawer fails to pay at the due date, the endorser must bear the responsibility for payment.

After endorsement, the ownership of the bill is transferred from the endorser to the endorsee.

Bills can be transferred by endorsement many times.

Endorsement includes five ways: limited qualitative endorsement, blank endorsement, special endorsement, limited endorsement and conditional endorsement.