Demand Draft

Overview

A demand draft is a written order issued by POSB Bank to our overseas correspondents to pay a stated amount in foreign currency or SGD to a named beneficiary. POSB Bank or our overseas agent will pay your beneficiary when the demand draft is deposited and cleared by the beneficiary’s bank.

If you need to make fixed payments to an overseas party regularly (eg. monthly, bi-monthly, quarterly, half-yearly, yearly) to the same party, you may wish to sign-up for our standing instruction. With this service, you only need to provide a one-time instruction to the bank to issue a demand draft for the fixed amount based on the frequency you have specified.