What bank card do I need to apply for cross-border e-commerce? What payment methods are available?

Today, I will introduce you to cross-border e-commerce. If you decide to open a store on a cross-border e-commerce platform, you need to prepare some basic information, such as the application for a bank card. So what kind of bank card do you need to apply for cross-border e-commerce?

What bank card do I need to do cross-border e-commerce?

1. Western Union is the world's leading express remittance company, and money can be remitted and withdrawn at Western Union agent locations in most countries around the world.

Advantages: The principle of delivery upon receipt of payment maximizes the protection of merchants’ interests from loss.

shortcoming:

1. Payment before delivery can easily cause distrust among foreign consumers, leading to order loss.

2. The customer base is small, which imposes certain restrictions on the transaction volume of merchants.

3. For larger amounts, the handling fee is high.

4. You need to go to the bank to queue up and fill in information, which makes payment extremely inconvenient.

2. Telegraphic transfer (T/T) is a traditional transaction mode, which is divided into pre-TT and post-TT. The former is that all the money is directly remitted to the bank account before delivery (beneficial to importers); the latter is to load the goods first and remit the full amount after seeing the faxed bill of lading (beneficial to exporters).

Advantages: Suitable for large payments

shortcoming:

1. Be strict with credit issues.

2. It is not suitable for small and medium-sized payments. The buyer needs to pay additional fees (1‰ handling fee + 3% banknote exchange fee + 150 yuan telegram fee)

3. If payment is made before delivery, customers may become distrustful.

3. PayPal: It is currently the world's largest online payment provider, with more than 100 million registered accounts worldwide. It is the most commonly used payment method in cross-border transactions. Anyone with an email address can use PayPal to send and receive payments online.

Advantages: It meets the payment requests of most consumers and is a transaction model between accounts.

shortcoming:

1. It is mainly based on credit cards, so there is a risk of chargeback. Once a chargeback occurs, it is difficult to protect your rights.

2. More inclined to protect the interests of buyers; merchant accounts are easily frozen, and merchants' interests suffer losses.

3. It is difficult to cover the user group who does not have a credit card.

4. International credit card collection: International credit card collection refers to the collection of payments through third-party credit card payment companies that integrate international credit card payment gateways such as Visa, MasterCard, JCB, and American Express.

Advantages: Catering to the consumption habits of foreign buyers and a large user base.

shortcoming:

1. Generally, a 10% deposit is required, the fees are high, and the payment amount is relatively small.

2. The spread of black cards poses a risk of payment rejection.

5. Payssion (global local payment): for enterprises and individuals with cross-border payment needs; it can access more than 300 local payment methods around the world, and can be used without a credit card. It supports multiple payment methods including online banking transfer, e-wallet, prepaid card, operator billing, cash payment, etc.

advantage:

1. Multiple payment methods, covering more users.

2. Low access cost, no channel fee and no annual fee.

3. The payment experience is good, Chargeback is not supported, and payment is safer.

4. Support multi-terminal access such as WEB, Android, IOS, etc.

Disadvantages: Long withdrawal cycle

Cross-border e-commerce platforms have requirements for bank cards, which may be different from ordinary bank cards. If merchants decide to open a store, they must understand the specific requirements. Finally, you can also learn some English skills on our website.

Recommended reading:

What are the procedures and costs for opening a Shopee cross-border e-commerce store? What should I pay attention to?

How to join Shopee cross-border e-commerce? How to run a Shopee store?

How much does it cost to register for Shopee's cross-border e-commerce? What are the fees?