Sourcing guide · Money

Safe payment methods for Chinese suppliers

Choosing safe payment methods for Chinese suppliers is simple once you learn the one rule that matters: pay in ways you can trace, to accounts you have verified.This guide compares the methods buyers actually use, explains the 30%-deposit convention, and lists the red flags that signal a scam — without bank-specific tutorials that go stale.

The methods, compared

T/T — bank transfer to a company account

Most common for B2B

Telegraphic transfer (wire) remains the default for wholesale orders. The non-negotiable rule: the beneficiary name must match the company name on the business license you verified. Company account, traceable, with a payment reference quoting your PO number. Fees are typically a few dozen dollars per transfer — factor them into landed cost.

Platform escrow (e.g. Trade Assurance)

Best protection for first orders

On-platform escrow holds your payment and releases it when agreed milestones are met, with a dispute channel if the supplier fails to deliver. It costs a small service fee and requires the order to run through the platform — worth it for first orders with unknown suppliers. Read the coverage terms: protection has defined conditions and limits.

PayPal / card for samples

Small amounts only

Fine for sample fees and small trial payments thanks to buyer protection and chargeback options. Fees (typically ~4-5%) make it uneconomical for bulk orders, and many factories will not accept it for large sums. Never let convenience replace verification.

This page intentionally skips step-by-step bank tutorials — interfaces and requirements change constantly. Your bank’s international wire desk or the platform’s help center is always the current source of truth for the mechanics.

The 30%-deposit convention

The standard rhythm for a first order: ~30% deposit to start production,balance after you approve QC (or against shipping documents for trusted repeat suppliers). It splits risk fairly — the supplier is covered for materials, and you keep leverage until quality is confirmed. Any supplier demanding 100% upfront from a new buyer is asking you to carry all the risk; decline or walk away.

Currency tip: quotes are in CNY, but you think in your home currency. Before every transfer, run the numbers through our freecurrency converter — and always confirm the final settlement rate with your bank, since indicative rates move daily.

🚩 Payment red flags

Large sums requested to a personal account that does not match the licensed company name.
100% prepayment demanded from a brand-new supplier.
Pressure to pay via crypto, gift cards, or cash apps with no paper trail.
The account details change at the last minute — verify by phone/video before re-sending (invoice fraud is real).
Price or payment terms change after you paid the deposit, with no written amendment.
Supplier refuses to put price, quantity, and delivery terms in writing before payment.

A safe first-payment sequence

Verify first — run the supplier verification checklist; match the license name to the bank account.
Confirm terms in writing — price, quantity, specs, delivery date, deposit %, balance trigger. A WeChat confirmation counts.
Pay the deposit (~30%) to the verified company account, quoting your PO number as reference.
Inspect before the balance — approve QC photos or a third-party report first.
Pay the balance against the approved QC — then track the shipment, not your anxiety.

Frequently asked questions

Is a 30% deposit standard when ordering from China?+

Yes — 30% deposit with the balance paid after QC approval or before shipment is the most common arrangement for first orders. It splits risk: the supplier covers material costs, and you keep leverage until quality is confirmed. Never pay 100% upfront to a supplier you have not worked with.

Is Trade Assurance safe?+

Trade Assurance adds a layer of protection: the platform holds your payment and releases it per agreed terms, with a dispute process if the supplier defaults. Read the coverage terms carefully — it protects the order value under specific conditions, not every scenario — and note that it typically applies to orders placed through the platform.

What if a supplier only accepts payment to a personal account?+

Treat it as a red flag for anything beyond small sample fees. Legitimate companies pay into company accounts whose name matches their business license. If a supplier insists on a personal account for a large order, pause and re-run the verification checklist before sending anything.

Unsure about a payment request?

Send us the quote and the payment details you were given — we’ll give you a second opinion on whether the terms look standard or suspicious, before your money moves.

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