The notion of order It has several uses. In this case we are interested in its meaning as a provision That must be followed and executed. A payment on the other, it consists of Cash outlay or of a kind to fulfill an obligation or cancel a debt.
A pay order , in this framework, it is an instrument that is usually used in international trade operations . It is a resource that allows the payment of a import .
What is done when issuing a payment order is grant authorization to the Bank where you have an account at make a certain amount available to a third party (which is the beneficiary of the payment). The payer, in this way, must identify himself before the entity; detail the amount of money to be paid and the corresponding currency; and enter the bank details of the beneficiary.
Among the advantages of resorting to a payment order are the speed and the security . Once the transfer is made, the beneficiary has access to the money immediately.
The payment order, in short, is a instruction that the importer gives to his bank to make the transfer of a specific amount of money to the beneficiary's bank account. The step-by-step detail of the process marks the intervention of the payer (the subject that indicates the payment to the issuing bank), the issuing bank (in charge of issuing and paying the order, or transmitting that order to a paying bank) and the beneficiary (who receives the money stipulated in the payment order).
