Hi,

i may find interesting stuff on alibaba, buy honestely i am wondering which payment method is the savest way and is there is any paymenet that offers compansation if fraud or scam occur?

cheers

 

L/C: letter of credit

Pay with a credit card. Paypal charges you a percentage of the transfered money, but you get  "peace of mind." The credit card company has the most power to get your money back. Wire transfer has no protection. Even though a lot of credit cards are through the bank the credit card has different policies. Most credit cards give you 30 days to notify them about  these issues and some give you up to 90 days.  They have the power to cancel the payment. Pay with a credit card, but before you do that contact your credit card company and inquire about it.

Credit card, paypal, escrow, these are now available in China.

Business has risk itself, so you can not find that 100% safe.

LC only acceptable for big amount like about $10k, most of payment is by T/T in China.

and there is no other way acceptable.

But you can do something to avoid lossing money:

1. ask people who supply service for verify compnay.

2. Send one to inspect the goods before shipment.

these two ways would cost you a little money, but can ensure you get the right goods that you paid.

Yes..There is no 100% safe for any payment method.Beacuse any business has risk itself. The payment we need is only a part of business.it is only a tool for doing business.
Infact,whether the business is safe,it mainly depend on the persone who do business with you ,not payment method.If the persone is not a good businessman,then any payment method is not safe.
Of course,a suitable payment method can aviod some risk some time.but this is not the most important.

Safest method is to go to the factory, inspect the goods, choose the ones you want and then pay CASH.......

Everything else has pitfalls and method of payment would depend on the $ amount involved and what the product is.

LC with a bank guarantee would be the safest for large company orders unless you can inspect the product yourself and pay cash directly. If your talking about small transactions that cannot be conducted face-to-face your best bet would be to pay COD or use a reputable escrow company (there are many untrustworthy escrow businesses out there so make sure to do your due diligence first.). Many people are completely satisfied with using paypal although there are occasions where you are only insured up to a certain dollar amount and even then it is quite easy to move money around once its been sent via paypal. Incase of fraud you might be left waiting in limbo for a long time while they conduct a "investigation". In my opinion paypal has no place in B2B trade, its only good for ebay transactions under $1000 USD. Be weary of any supplier that only accepts T/T payment or Western union. These two payment methods should be reserved for only the most trustworthy business partners.