The difference between a draft and an ordinary check is that in the documentary draft the seller acts as both the drawer and the payee.

Question

Quizplus · Accepted Answer

In a documentary draft, the seller or exporter acts as the drawer and the beneficiary, while the buyer or importer acts as the drawee or the party who makes the payment. In an ordinary check, the account holder or the payer acts as the drawer, while the payee is the recipient of the payment. Therefore, the above statement is true.

The Difference Between a Draft and an Ordinary Check Is