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Autodraft means setting up a regular payment that is automatically withdrawn (or drafted) from your banking account on a specific day of the month that you decide. (Its sometimes called autopay or ACH withdrawal.) Then your payment is deducted from your account on the same day every month.
When used synonymously with automatic payment plans, automatic bank drafts are a convenient and paperless means of paying bills whereby funds are debited from one account and credited to another.
A bank draft is a payment that is like a check, but its amount is guaranteed by the issuing bank. The funds are drawn from the requesting payers account and are then placed in the banks reserve account until the draft is cashed by the payee.
Automatic Bank Draft is a free service that pays your bill amount directly from your bank account each month.
Bank drafts provide merchants and business owners with a secure form of payment since each draft carries a guarantee from a trusted financial institution.

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The Draft Authorization is a living document and a specific contract between your lender and the SBA.

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