Bank Draft

A bank draft, also known as a banker’s draft or cashier’s check, is a payment instrument issued by a bank on behalf of a customer. In the logistics and supply chain industry, bank drafts are commonly used for international trade transactions to provide a secure and guaranteed method of payment. A bank draft is typically issued in the currency specified by the beneficiary and represents a specific amount of funds held by the issuing bank. It provides assurance to the recipient that the payment is legitimate and will be honored by the bank upon presentation.