Final answer:
A certified check is the type of check guaranteed by the drawee bank, ensuring the availability of funds when presented by the holder.
Step-by-step explanation:
The check that a drawee bank guarantees will be paid to the holder is known as a certified check. Unlike a bank draft or treasurer's check, which are guaranteed by the issuing institution, a certified check is unique because the funds are guaranteed by the drawee bank, meaning the bank verifies that the signer has enough funds to cover the check and sets aside the check amount in the signer's account. A check that a drawee bank guarantees will be paid to the holder is a certified check. A certified check is a personal check that the bank certifies, meaning they verify that the funds are available and set them aside to pay the check when it is presented. By certifying the check, the drawee bank guarantees that the check will be paid to the holder.
Similarly, although a traveler's check is a secure way to carry money, it is not dependent on a specific bank account's funds at the time of use like a certified check.