Quoting from [Oneuni]:


When  offering  the  payment -condition & terms,  especially for  small  value. 


If  you are not  giving  your buyer some reliable & credible  payment-system,



They  might  be  got   hesitate and  doubt   to  deal  with, 


It is mean  maybe  they  would  cancel  the order !!



implementing  the  payment  by :  Pay  Pal  (Ali  pay) ,  escrow ,  credit card  etc...


that  are  being  a trend or  standard now ?


  

Yeah, I will lear the details about escrow. thanks!

Quoting from [Singbee]:

Quoting from [Oneuni]:

When  offering  the  payment -condition & terms,  especially for  small  value. 

I agree with you on the above. However, I have one question in mind who should pay for the extra tranaction fee by the third party (Paypal), escrow. As personally I believe a good relationship between supplier and customer should be working together to maxuimise the mutal benfite between, but giving some of our potential profit to a third party for a small order, do not sound like a perfect situation.

     1. This is called cost of money/payment, either in L/C and bank TT there are bank's

         charge or fee for that. So far How did you recon it? there is Payment/collect-cost,right?

     2. In Cost (ing) accounting, when do the costing, not only product+pack+delivery+Over

         Head+ Taxes +  Sales cost also in there: Cost of money (capital cost against IRR), and

         through all of total financing (cost&expenses) would be: the  Bank-charges/fees/interes?          It may also known as the in-direct cost ! and more specific is posting to sales cost.     

     3. You can propose add on charge in the invoice to  the buyer, but it will make it crowd,

         and a bit annoy to buyer,  I advise you to inclusive it at your selling price FOB. in order

         to make the Invoice more clean... (not many surcharges in it).

         not so many buyer could accept such surcharges.

      Hope you could feel better now ?

        

        

for small money,people use alipay,just like taobao,small order in alibaba.com.cn,

but for international trade,mostly,people get T/T,beacause it is simple and easy,small bank cost,but now,in market,more and more foreigner use D/P,maybe one month,maybe two,beacause they know,now Chinese economics not so good,people very hurry to sell out their products in china,so they can easy get credit and they can use their money more times

secondly,they are more and more familiar with chinese culture,they know in china,credit is reasonable,so they're trying this way more and more.

Quoting from [rainbowcz3]:

for small money,people use alipay,just like taobao,small order in alibaba.com.cn,

but for international trade,mostly,people get T/T,beacause it is simple and easy,small bank cost,but now,in market,more and more foreigner use D/P,maybe one month,maybe two,beacause they know,now Chinese economics not so good,people very hurry to sell out their products in china,so they can easy get credit and they can use their money more times

secondly,they are more and more familiar with chinese culture,they know in china,credit is reasonable,so they're trying this way more and more.

     thanks   rainbow

Quoting from [Oneuni]:

Quoting from [rainbowcz3]:


for small money,people use alipay,just like taobao,small order in alibaba.com.cn,

but for international trade,mostly,people get T/T,beacause it is simple and easy,small bank cost,but now,in market,more and more foreigner use D/P,maybe one month,maybe two,beacause they know,now Chinese economics not so good,people very hurry to sell out their products in china,so they can easy get credit and they can use their money more times

secondly,they are more and more familiar with chinese culture,they know in china,credit is reasonable,so they're trying this way more and more.

     thanks   rainbow

           another indication from  rainbow's  that  payment system will influence the sales !

They  might  be  got   hesitate and  doubt   to  deal  with, 


It is mean  maybe  they  would  cancel  the order !!



implementing  the  payment  by :  Pay  Pal  (Ali  pay) ,  escrow ,  credit card  etc...


that  are  being  a trend or  standard now ?


  

We allways pay by L/c, but in this first time we pay casch, we pay $1525 USD to Desmon Munte (Karya Kalla from INDONESIA) and he never send our business by Fedex. Is not serius pay terms.

Quoting from [camilovera]

  

We allways pay by L/c, but in this first time we pay casch, we pay $1525 USD to Desmon Munte (Karya Kalla from INDONESIA) and he never send our business by Fedex. Is not serius pay terms.

      Thanks  Camilvera,

      In this case you are buying ...not  the seller ...

Quoting from [LoyalCo]:

 

in my opinion, to use paypal just for a very small amount probably for samples for trial order, then the real order coming , to use T./T ,LC or some another terms of payment is necessary,

      Indeed  you can do it as well  Loyalco...just to be flexible 

      but more nice of you if  listen too what the most convenient for buyer ? 

      good to him/her  and  good  to you  ...a  mutual  approach...

Quoting from [rgs_frankyeo]:

Quoting from [Oneuni]:

Quoting from [Joyce Tam]:



But not really for standard/ big orders or in some countries,I think.

     BIg  Order  and  standard  Order ?  to which country/resources  that a big order given to ?



     Talking  about  Big ?  do you  (think)  ever in your life in this 2 decade,  to hear and see :

a  One  Order  in  One thousand  containers ?  lead time  6 month, 


 And  I  was  there,  a man which ever handling/involved  with  that  project.  And what happened was ?  even the payment l/c  had to be via SIngapore (Hong Leong Ctr) as escrow account.not  direct  to Indonesia ...



     Standard Order ?  you mean  direct sales or 1 x  FCL  for  consumer goods or home appliance & apparels ? or  fashion/garment ?  thess  things  will be enough  by  Gold credit Card  ( FYI = In my country to open USD account for corporation is 22,000 USD minim)   and  my dear,  by  LC  it will be about 1000 USD  for cost ( bank advise; 

i.e :  100-250 $, bank's ' fee/commission :  200-500 $, conversion exc-rate  $ 200 -300$,  doc air wb for  presenttn doc. etc  courier: 50-100 $ , tax..  etc )


  So my dear  for  SME  with  low commodity value,  it is not  the way ?

Actually it is very difficult for most people to understand and realize how difficult the banking system and the import/export modules in Indonesia. It is also very hard for us to fathom the amount of trade Indonesia major trading company is handling, O my dear Oneuni, don't be to upset if we say the wrong thing. Our dear lady is only giving her opinion.

You may be right, with the advent of the WWW, payment system is somewhat different. I would think that eventually, the Escrow system will supersede lots of payment method but will never overshadow the LC payment for many reasons.

The rest of the methods like the Pay Pal, Credit Card and WU etc has too many liabilities to be fully accepted. There is still the most basic question of "Trust, on the seller part" when using these methods. Escrow kind of eliminate these problem but it remained to be seen if it is fool proof.

You have raise some very good point about the banking issue in Indonesia and I think many of us in this forum who appreciate and like to know more about. How about writing an article on this issue.

      Dear  Frank, 

      For sure not,  no Upset ... to   the  charming and  cheers one  Joice. 

      interesting  with  www. payment system  ! 

      I  wrote a general condition about  bank's account in Indonesia please read

      http://resources.alibaba.com/topic/334479/to_get_Bank_s_account_in_Indonesia_.htm

      and some finances (bank) too

as my topic  about  payment terms  effect  ,


just now I had the case  that  relevant  with it ,  read it  at  topic :

The Buyer need a Credit-line Payment ? how to deal with it ?Award Points:10[Question]