Page 140 - eBook: EXIM for Beginner

Bill of Exchange

Documentary Bill

• Documentary bills can be of two types:

• D/P Bill (Documents against Payment):

• Documents delivered against the bill’s payment is

known as D/P bill. The documents are held by

banker after it had been delivered until the bill’s

maturity.

• D/A Bill (Documents against Acceptance):

• Documents delivered against only the bill’s

acceptance is known as D/A bill. The bill becomes

clear or nullifies after the delivery of documents.