Last updated: October 2026 · By the PandaRoads team in China
The four ways buyers actually pay Chinese suppliers
| Method | Best for | Buyer protection | Main risk if supplier unverified |
|---|---|---|---|
| T/T bank wire | Standard B2B orders, best fees at scale | None built-in; relies on your contract + staging | Money is gone once sent; hard to reverse |
| PayPal | Samples, small first orders | Chargeback / buyer dispute path | Fees; suppliers often refuse at scale |
| Escrow / Trade Assurance | First orders on marketplaces | Funds held until delivery terms met | Only covers orders placed inside the platform |
| L/C (letter of credit) | Large, repeat orders | Bank only releases against documents | Costly and slow for small buyers |
No method is safe on its own. Protection comes from combining a reasonable payment channel with verification before the deposit and inspection before the balance.
The staged structure that protects your balance payment
- Deposit (~30%) only after the company is verified and a written contract with specs exists.
- Balance (~70%) only after a pre-shipment inspection confirms quantity, quality and packaging.
- Never let the balance be due “before shipment” with no inspection right — that removes your only leverage.
- Keep every term (specs, AQL, delivery, penalty) in writing; verbal messaging-app promises are unenforceable.
Verify before you wire (10 minutes that save the order)
- GSXT company check: confirm the entity is registered, active, and its scope covers your product — see our GSXT verification guide.
- License match: business license name = contract name = bank account name. Any mismatch is a stop.
- Real premises: a factory that exists can be visited and photographed; a trader posing as a factory often cannot — verify the factory before the deposit.
- Price sanity: a quote far below market usually means corners cut later — benchmark with a 1688 price check.
Red flags that mean stop
- Payment to a personal bank account or a different company than the contract.
- Pressure for 100% upfront, or “the account changed, send it here instead” mid-order.
- Refusal of a third-party inspection or of a written contract / specs.
- Only personal messaging apps, no company email, no verifiable address.
- Prices that beat every other quote by a wide margin — see common supplier scams.
Where a local team fits (and what we will not do)
We verify the supplier on the ground, photograph the factory and line, and inspect goods before your balance payment — remote checks from $129 per request, on-site visits $239 per day, English report in 2 business days. Critically, we never collect your goods payment: your money goes directly to your supplier through your chosen channel; we only invoice our own service fee. Boundaries are public in what we won’t do.
Frequently Asked Questions
Is T/T 30/70 safe?
It is the market norm and reasonably safe when the 30% deposit follows company verification and the 70% balance follows a pre-shipment inspection. Without those two gates, 30/70 only limits how much you lose, not whether you lose it.
Should I use PayPal for a bulk order?
PayPal is excellent for samples and small first orders because of its dispute path, but fees make it impractical at scale and many factories refuse it for bulk. Use it to test a supplier, then move to staged T/T or escrow for volume.
What if the supplier insists on 100% upfront?
Treat it as a red flag. Legitimate manufacturers accept staged payment because they trust their own product. If they won’t inspect-then-balance, walk away or cap the order at an amount you can afford to lose.
Can someone in China check the supplier for me first?
Yes. A local team can run the GSXT check, visit and photograph the factory, and confirm the bank/license details before you send a deposit — remote from $129 per request, on-site $239 per day.