How You Pay Determines How Fast You Ship — and How Protected You Are
Every Chinese used car export starts with a payment structure conversation. Getting this wrong causes 90% of first-time buyer disputes. This is the guide.
Option 1: Bank Wire (T/T) via Bank of China — the Standard
Telegraphic Transfer to the exporter's USD / EUR / RMB account at Bank of China (or ICBC / CCB). This is the default for 80%+ of transactions above USD 15,000.
- Timing: 1-3 business days for USD/EUR wire from most jurisdictions; 2-5 days from countries with additional compliance review.
- Cost: USD 30-80 sender-side wire fee; some intermediary banks charge USD 15-40 more.
- Milestone structure: 30% deposit on Proforma acceptance; 70% balance against pre-shipment documents. Some buyers use 100% before loading (favors trust) or 50/50 (safer for both).
- Best for: Any buyer with established banking; volume purchases; countries where Wise is not supported.
Option 2: Wise (formerly TransferWise) — Individual Buyers
Fastest option for individual buyers under USD 30,000 per transaction. Wise supports RMB and USD deposits into most Chinese business accounts.
- Timing: Usually 1-2 business days, sometimes same day.
- Cost: 0.4-0.8% total fee — often cheaper than T/T when small amount.
- Limit: USD 30,000 per transaction (Wise personal limit). Multiple transactions possible.
- Best for: Single-vehicle orders by individual buyers.
Option 3: Letter of Credit (L/C) via Bank of China — Volume B2B
L/C protects both sides on high-value orders. The buyer's bank guarantees payment against presentation of shipping documents; the exporter is paid only when documents match L/C terms exactly.
- Timing to open: 3-7 business days.
- Cost: 0.15-0.35% of L/C value + fixed fees. Best economics on orders USD 100,000+.
- Best for: Orders of 5+ vehicles, first-time B2B relationships, buyers whose bank requires L/C for large outbound wires.
Option 4: Third-Party Escrow — First-Time Trust
A neutral escrow agent (bank or trade platform) holds buyer's funds and releases against milestone documents.
- Cost: 0.5-1.5% of transaction depending on agent.
- Timing: Slight delay vs T/T for setup.
- Best for: First-time buyers who want an independent third party in the transaction chain.
What We Do Not Accept
- Cryptocurrency — Chinese banking regulation prohibits it for exporter accounts.
- Personal cheques.
- Cash pickup.
- Payment to any account name other than the registered exporter entity.
Currency Options
- USD (default global).
- EUR (European buyers).
- RMB (for buyers with existing RMB accounts — often lowest FX cost).
- We do not quote or accept payment in destination-country local currency directly.
Milestone Structure Options
- 30/70 split (recommended default): 30% deposit, 70% against pre-shipment documents.
- 50/50 split: More balanced when buyer wants extra assurance.
- 100% pre-shipment: Faster order-to-load but higher buyer exposure.
- 10/60/30 for L/C users: deposit, at loading, at destination clearance.
Talk to Us About Which Fits
Message quantity, destination, buyer type (individual vs company), and your preferred banking jurisdiction. We recommend the payment structure that best fits your situation.