How to Avoid Scammers When Paying China Suppliers

✔ Company name matches bank account name

If the company says they are “Guangzhou XYZ Trading Co., Ltd.”
…but the bank account says “Li Wei” (a random personal name), don’t pay.

✔ Check their Business License

Ask for a copy of their Chinese business license.
Look for:

• Company name in Chinese

• Registration number

• Legal representative

• Expiry validity

✔ Verify their Alibaba or 1688 status

• On Alibaba, look for Gold Supplier + Verified + Trade Assurance.

• On 1688, check “实力商家” or “厂家认证”.

If they refuse verification → red flag.

2. Use Safe Payment Methods Only

Never use unsafe methods like Western Union, MoneyGram, crypto, or personal bank accounts.

✔ Best Payment Methods:

1. Alibaba Trade Assurance (safest)

• Protects your money

• Refund possible if goods aren’t delivered

• Holds funds in escrow until you confirm delivery

2. PayPal (for small orders)

• Buyer protection

• Easy dispute handling

**3. Bank Transfer to a Company Account

• Only use for verified factories

• Ask for a Proforma Invoice before paying

4. Letters of Credit (for large orders)

• Best for orders above $20k

• Very hard for scammers to fake

3. Avoid These Red Flags

If you notice any of these, don’t pay:

🚫 They rush you: “Pay today, last price!”
🚫 They refuse video calls or factory tours
🚫 Too many excuses (boss not around, system down, etc.)
🚫 Asking you to split payments into multiple personal accounts
🚫 Using free email domains (e.g., @gmail.com) instead of company email
🚫 Price is too cheap compared to others

Scammers rush. Real suppliers don’t.

4. Always Ask for These Before Paying

A serious supplier will give:

✔ PI (Proforma Invoice)

Includes company details, bank details, product list, delivery time, and stamp.

✔ Bank Account Letter

Shows that the company officially owns the bank account.

✔ Factory Address + Contact Person + Landline

If they only have WhatsApp → be careful.

✔ Video Proof

Ask them to:

• Show the product in video call

• Show packaging

• Show production line

• Show business license on video

A scammer will delay or refuse.

5. Use a China Sourcing Agent (Optional but Safe)

If you’re not experienced, a sourcing agent can:

• Inspect the factory

• Check business license authenticity

• Handle payment on your behalf

• Inspect goods before shipping

• Prevent fake products

Many Nigerian importers use sourcing agents for 1688 orders.

6. Do a Small Test Order First

Before placing a big order:

1. Make a sample order

2. Pay using a safe method

3. Test delivery speed

4. Inspect quality

5. Check packaging and product accuracy

If they mess up a small order, never place a big one.

7. Keep All Communication Inside Platforms (Important!)

If they try to move you from Alibaba to WhatsApp before payment → danger.

Stay inside:

• Alibaba chat

• 1688 chat

• WeChat only after verification

Because platform chats are evidence for disputes.

8. Use an Inspection Company Before Shipping

Before you release the final payment, hire a China inspection company ($80–$120).

They will:

• Visit the factory

• Count cartons

• Verify quality

• Check for damaged or fake goods

Popular inspection companies:

• SGS

• QIMA

• VTrust

• AsiaInspection

This step is cheap insurance compared to losing thousands.