Must see! LED foreign trade fraud prevention strategy

According to the Zhejiang foreign trade business, Poly Garden reported that not only LED who do foreign trade, foreign trade, foreign customers shall drag is a common thing, drag a few days to drag on for weeks or even months to default, it is relatively difficult to deal with. Recently, there is a foreign trade in order to catch up with the woman actually flew directly to Bangladesh, but also on the forum broadcast overseas debt process, had to admire its perseverance.

The vast majority of foreign trade are in the way of payment problems, for example, in order to sign a single and accept unreasonable payment terms, so that customers do not pay the full amount of time to get the goods. Often go to this step is also a step by step liar, so that you can only choose to believe in a particular environment, the liar, the Bureau has been so that you do not have any other choice. So, first of all, to understand the advantages and disadvantages of several foreign trade payment methods.

Foreign trade payment

1.T/T

Wire transfer, also known as wire transfer, refers to the remittance should be sent to the application, to pay a sum of money to the payee. This is the most common trade, but also recognized by the majority of the industry as the most simple, intermediate procedures at least, the most direct way, similar to the domestic conventional transactions: one party delivery, one party to the money. But there are also some defects.

Defects (1): collection of tail

There are 2 ways to collect payments, the first is the customer in the production of goods after inspection, no problem as payment, then supplier shipment, or "loan delivery"; the second is the goods after the completion of the inspection, shipment, payment upon receipt of a copy of the bill of lading, then supplier for the original or call for. Customs at the port of destination, receiving. These 2 have risks. What if the first supplier does not deliver the goods after receiving the money? If FOB, customers receive a copy of the bill of lading, through the establishment of private goods freight will be to go, do not give money, how to do?

Defects (2): payment arrangements for large orders

For large orders, T/T's choice is even more difficult, mainly related to the order of the problem. If an order is $1 million, will the customer accept a deposit of 30%? Difficult to estimate.

2.L/C

Letter of credit means the issuing bank, in response to the applicant's request and instruction, to the third party to open a certain amount of money, in a certain period of time in accordance with the provisions of the documents to ensure the payment of documents. Letter of credit is the most complicated payment method in international trade. But there are also some defects:

Defects (1): complicated procedures

Because it involves at least four roles: the applicant, the issuing bank, the advising bank, the beneficiary of the letter of credit.

Defects (2): Soft Clauses

Soft clause is terrible, it will cause great loss to the company. So in the trial process documents must be carefully and carefully, make sure to arrange the production, if there are disputes, must advance with the customers, to discuss the amendment of the L / C.

Defect (3): discrepancy

In general, there are discrepancies. Although the theoretical discrepancies can be avoided, but the actual operation, it is almost impossible to meet without any discrepancies of the letter of credit negotiation. Generally speaking, any discrepancy between the documents and the L / C may be referred to as discrepancies, such as a letter or a punctuation mark. In general, it could be $50 or more.

3.D/P&D/A

D/P, D / a means that the seller will ship the relevant documents submitted to the bank, the buyer through the local collection bank payment bill, and then take delivery.

D/A, D / a means that the seller after the shipment of the bill of lading, together with a variety of documents through the bank to the buyer, and the buyer on the bill for acceptance, you can take delivery of documents.

Although the operation of D/P and D/A is much simpler than that of the L / C, the cost is less than the cost of a advising bank, but the bank is not liable for any risk in the collection process.

4.O/A

Refers to the exporter after shipment, the property certificate and related documents directly to the importer, a mode of payment and in a certain period of time after the payment of the goods to the importer. On credit sale".

O/A is the biggest risk of all payments. After all, the first shipment of goods and delivery of all documents for exporters, hands without any protection, once the customer defaults, all problems will be borne by the exporter.

Foreign crooks trick

1 the content of the message is related to a large sum of money from other countries

For example, it is often said that the "Nigeria scam": because the local government to the huge amount of property to impose high taxes, he needs to transfer to your name of foreign accounts to evade tax. To thank you for your help, he is willing to pay you a handsome reward. In addition, the mail will also be attached to the money is currently in Nigeria bank account number, encourage you to verify. If you show interest in the matter, he will ask you for a fee.

This kind of mail is a typical "Nigeria scam", it is a kind of since 1980s, is very typical of the network liar deception, the cause of the name in Nigeria. Set by some suppliers in network marketing to the psychological contract and the lack of financial knowledge to set money, so please be careful, do not be fooled.