A brief overview of discounting or using bankers acceptance. This information is taken from "A Basic Guide to Exporting" provided by the U.S. Commercial Service to assist U.S. companies in exporting.
Last Published: 10/20/2016
A time draft under an irrevocable letter of credit confirmed by a U.S. bank presents relatively little risk of default, so you may be willing to hold such a draft until it matures. Unless you have ample funds to use for other purposes, however, holding drafts will use up your working capital.

As another course of action, your bank may be willing to buy or lend against time drafts if you have a creditworthy foreign buyer who has accepted or agreed to pay at a specified future date. Such an arrangement allows you to convert the time draft into immediate cash. The amount that you receive will be less than the face value of the draft. The difference, called a discount, represents interest and fees that the bank charges for holding the draft until maturity. The bank may also require you to reimburse it if the draft is unpaid at the due date.
The creditworthiness of your foreign buyer may contribute to your costs and available options.
In a third option, known as a banker’s acceptance, a commercial bank may, for a fee, undertake to accept the obligation of paying a draft. Banker’s acceptances are usually in large denominations. Only a few well-known banks are accepted in the market as “prime name” banks for purposes of creating banker’s acceptances.