Drafts and Documentary collection n Drafts are similar to personal checks, but have a documentary requirement that the buyer to obtain shipping documents before taking possession of the imported goods Documentary collection Seller ships goods, then bank acts as agent in collecting payment through a sight or time draft from the importer. The draft becomes a banker's acceptance and may be sold at a discounted rate if the exporter is in need of immediate cash Copyright 2001 by Harcourt, Inc. All rights reserved 11-14Copyright © 2001 by Harcourt, Inc. All rights reserved. 11-14 Drafts and Documentary Collection Drafts • are similar to personal checks, but have a documentary requirement that the buyer to obtain shipping documents before taking possession of the imported goods. Documentary collection • Seller ships goods, then bank acts as agent in collecting payment through a sight or time draft from the importer. The draft becomes a banker’s acceptance and may be sold at a discounted rate if the exporter is in need of immediate cash