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Questions and Answers
Which party is responsible for issuing or producing the traveler's check?
Which party is responsible for issuing or producing the traveler's check?
- Purchaser
- Payee
- Issuer or obligor (correct)
- Agent
What is the main purpose of a bank draft?
What is the main purpose of a bank draft?
- To facilitate international transactions
- To ensure the availability of funds without needing to check the character of the person issuing the check (correct)
- To allow for payments to be made in the future
- To provide a convenient way for the purchaser to make a payment
Which type of bank draft is payable on demand or upon sight?
Which type of bank draft is payable on demand or upon sight?
- Time Draft
- Local Draft
- Demand Draft (sight draft) (correct)
- International Draft
Which party buys the traveler's check and will use it as a form of money?
Which party buys the traveler's check and will use it as a form of money?
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Which type of bank draft is used globally or internationally?
Which type of bank draft is used globally or internationally?
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What is the main purpose of a money order?
What is the main purpose of a money order?
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Which party is the financial institution that sells the traveler's check?
Which party is the financial institution that sells the traveler's check?
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What is the main difference between a Demand Draft (sight draft) and a Time Draft?
What is the main difference between a Demand Draft (sight draft) and a Time Draft?
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Which type of bank draft is issued by a bank in a single country?
Which type of bank draft is issued by a bank in a single country?
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What is the purpose of an Automatic Bank Draft (ABD)?
What is the purpose of an Automatic Bank Draft (ABD)?
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