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Any other payment methods besides TT, L/C, which fairly equitable too?
Post 1 of 42
Admin Moderator
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[em16]
Award 50 MVPs ( What's this? )for the best answer.
16 Oct 2006 19:54
Post 2 of 42
CWES33
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Replying to [Admin]: INVENTORY TO DOC.

AFTER SHIPPING SURRENDER YOUR BILL(S) OF LADEN TO A BANK WITH A CORRESPONDING RELATIONSHIP IN THE IMPORTING COMPANY. tHE CUSTOMER MUST PAY THE BANK ACCORDING TO YOUR ARRANGEMENTS BEFORE HE CAN GET OWNERSHIP DOCUMENTS (BILL OF LADEN). IF THE CUSTOMER REQUIRES AN INSPECTION, IT SHOUILD BE DONE AT THE LOADING POINT AT THEIR EXPENSE WHERE THE CONTAINER WILL BE SEALED.
18 Oct 2006 10:02
Post 3 of 42
Replying to [Admin]:
Here are other payment methods which are fairly equitable:

1. Documentary Collection - This is raised by the exporter and made out to the customer’s bank. Then it is sent to the customer for acceptance and can be guaranteed by the bank for additional safety.

2. Open Account - When neither TT/LC/or Documentary Collection are suitable, this payment method can be adopted. Credit terms can be arranged for 30, 60 days or more and payments are done by bank transfer.

macs2005[em1]
18 Dec 2006 10:30
Post 4 of 42
Motenai
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Replying to [Admin]:

a simple payement way for little orders: paid in cash directly at UPS/FedEx/DHL delivery man.

If I dont paid the delivery man, i havent my stuff and it back to supplier. If i paid, i have my stuff and the supplier have its money.

The problem with this method; there are some fees in plus, but it's not really a problem because the both party have that they want and the trust is acquired for next deals[em17]

Marco Oliveira
20 Dec 2006 05:35
Post 5 of 42
Big Boss
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Bankers Cheque............................

DP: Documents against Payment ...Docs sent to the buyer bank ..when he pays the bank will release the docs...........Bank Guarantee...it can be kept as a security and the material can be shipped at regular intervals ...it can be invoked if any discrepancy is met.....Barter.....supply the raw material and just paying nominally extra for the finished material.

Rgds
Boss




20 Dec 2006 06:45
Post 6 of 42
Replying to [Admin]:

I feel that a universal way of starting a relationship between BUYER and SUPPLIER is very simple, even though the process i will explain requires patience on both sides, that should not be a problem for either parties, because after all, aren't we all looking for a long term business relationship?

We all look to start somewhere in the international world of buying and selling, i have been doing it for 23 years and i am still learning, so here we go:

1, All relationships start with communication, which leads to negotitations, and then a deal is made between both parties. As most new buyers will do with a new supplier, they will request a sample order to be made, however minimum the quantity may be, the sample order is arranged through a very safe and secure method,
which is called COD (Cash on Delivery) all international courier companies provide this service, From DHL, FEDEX, UPS, TNT, EMS, when merchandise is shipped out from point of origin, a tracking number is created, which is given to buyer, buyer awaits shipment from supplier, the average turnaround time is usually 7 business days, courier company will call and advise buyer, that shipment has cleared customs and merchandise will be delivered following day, and to have a money order or certified check ready for driver, unless buyer pays driver for merchadise, there is no way of receiving merchandise, then after payment has been collected it is forwarded to supplier. Although this process requires for supplier to wait to get paid, he is for sure to be paid, because courier company is responsible for goods once they leave the hands of supplier!
THE ONLY WAY THIS WILL BE DIFFERENT IS:
If merchandise being shipped by supplier to buyer is fake, counterfit, copyright infringement, or stolen, will supplier be at risk of losing his goods, that is why i have read her ein Alibaba, that many suppliers have been scammed and not been paid when they shipped by way of COD, please remember there is no UNIVERSAL WAY of at anytime a supplier CAN LOSE MERCHANDISE UNLESS GOODS ARE FAKE, and which that happens, USA CUSTOMS, will seize goods, and buyer will actually have to maybe even pay a penalty for trying to import conterfit goods, but my dear Alibaba friends, what has transpired here is very simple through this shipping and payment process, BOTH supplier and buyer, have in no way had a chance to be taken advantage of, a new solid realtionship has transpired, and there is a level of trust built from the start, if we implemented such a system in international trade, whatever country, it does not matter, we will have less, and less losses to hear of from other buyers and suppliers alike! And a real SERIOUS supplier will be patient even if he or she will have to do business with his buyer that may require many months of shipping out by way of COD, what would you rather have, a steady supply of revenue for you r company, or always searching for new buyers, and getting to knowsomeone allover again, i feel that it all starts somewhere, in the future if L/C or T/T has to be used, it will be on a more comfort level, because the foundation has been built, bigger dealscan be struck for both parties, even a face to face visit, can be arranged by then, because it is for the better of the fututre.

Sincerely
Greeksta[em17]
26 Dec 2006 05:38
Post 7 of 42
fishy
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Replying to [Admin]: The CIF is also a very good alternative. It is most common with business men from the East. It is the service i use when i'm doing business with my contacts based in Hong Kong.The commission in this case might be slightly higher compared to other methods but it is very effective.[em18]
26 Dec 2006 11:49
Post 8 of 42
Replying to [Admin]:Hi,Admin.
Because are TT,L / C very sure.
31 Dec 2006 07:42
Post 9 of 42
Replying to [Admin]:

Dear Admin,

One of the possibility is D/P (document against payment). This is similar to L/C buy the charges from Bank is not so much. Also, the payment is via bank to handle. Thus, you may select D/P payment method.

Jacky
Double Dream
10 Jan 2007 18:43
Post 10 of 42
Replying to [Admin]: Well, what we have been going through over the past 15 years of working experience in Import and Export has taught us the following.

Never start without advance payment. Then comes L/C and in later stages you can go for CAD (Cash against documents). If all goes well, I mean, you both are satisfied with the way things went. Then to further enhance the volume of your business you can offer those 50% advance and the rest to be paid after inspection of goods. The first three phases give you a clear idea about what you are up to.

Basically, the question of going ahead of TT or L/C relates to customers that are well established in their specific fields with annual turn over above 100000.USD. Otherwise, to a customer with business volume less than 25000 USD an year, you do not need to look for other options than TT or L/C.

We ourselves do not accept payments below 5000USD other than in Advance. Over 5000, we prefer L/C.

So before going for other options, you need to take serious note of your mutual transactions with a certain customers which will help you decide what to do?

ahmad.




17 Jan 2007 23:01
Post 11 of 42
yayaa
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Replying to [Admin]:
paypal is another method of payment
18 Jan 2007 00:21
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