what is the best method of payment in import export business

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.

What about Irrevocable L/C @ sight and what are corresponding implications of this method

I wonder why people still using Western Union since it cost a lot










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I wonder why people still using Western Union since it cost a lot










[url]tokosuntik.com[/url]

Quoting from [bluecranemall]:

what is the best method of payment in import export business

I agree with Eleckpack. Let me just add a few points to his, assuming that you are the exporter:

1. LC is the best method for larger amounts, because the charges are higher than for collection bills or TTs.
2. You should make sure that the LC is from an internationally reputed bank
3. Get it confirmed by a bank in your own place of business - IF you are not sure about the quality of the issuing bank or the country from where it has come (or where the buyer is located)
4. Sight LC is better than an acceptance LC
5. Check the reimbursement clause
6. You should be able to comply with the LC terms with regard to 'documents required'. If some documents cannot be submitted immediately after shipment, or at the time of presentation of documents to the bank, or if some have to be signed/furnished by the appicant or an agency in his country, AVOID the LC or get the terms amended.
7. There are good LCs and BAD LCs. Have them checked by an expert before you ship your goods.

 

LC is good but PAYPAL is the Best