In international trade, the drawer of a draft under a letter of credit is the exporter, the payer is generally the issuing bank, and the payee is generally the negotiating bank (generally, the negotiating bank and the advising bank are the same bank).

Among them, the payee is also called the payee of the bill. In foreign trade practice, the payee of a bill of exchange is generally drawn according to the instructions of the bank. In other words, this bank is the first person to accept payment in the performance of the letter of credit, and has the right to collect money from the drawee through the draft, so it is called the payee.

The payee of a draft under a domestic trade letter of credit is generally the beneficiary.