A bank draft is a cheque drawn on a banks account for a specified amount and currency.
Basically the company or individual “buys” the draft by paying for it up front.
The benefits are :
(1) You get certainty of payment – it’s bank guaranteed – because it’s been paid for already.
(2) It usually means that when you deposit it into your account it will be cleared far faster than a normal “foreign” cheque from an individual or company. Usually it’s cleared funds in 3-5 days rather than upto 45 days.
The terminology they used was correct – I can’t see where the confusion lies ?