7 ways to pay suppliers in china.

Looking to pay an overseas supplier in China? You could be running an international business, or importing goods – whatever your reason to pay a supplier in China, this article will give you an answer on the best way forward for you.

You might be looking at providers like PayPal, Western Union, or maybe even your bank? But are they really the best way for you to pay a supplier in China? Below we’ve highlighted the seven most popular ways to transfer money to China when paying a supplier.

We detail the pros and cons of each method and highlight the potential risks involved if there is any.


BFX Money Transfer

Western Union

International Wire Transfer


The Banks



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BFX Money Transfer

Firstly, if you’re after the short answer of the best way to pay someone in China, we’ll start by recommending a dedicated money transfer provider like BFX Money Transfer.

By using a dedicated money transfer provider, you’ll get the best exchange rate, with the lowest fees, and often it’s the easiest and most secure method as well.

Creating your own BFX account is free and easy to set-up. Your supplier doesn’t need to have an account of their own, and you can simply send the money to your supplier’s bank account.

Once your account is set-up, all you’ll pay is a simple once-off transfer fee, and your exchange rate will be the lowest on the market – we continually watch the market mid-rate to make sure you’re always getting the best exchange rate possible.

A BFX Money Transfer account makes paying suppliers in China easy and it’s most likely the cheapest option as well.

Register and start making international transfers.

However, read on so you know all the options available so you can make the best decision for your specific transfer situation.

Western Union

Western Union is probably the second-best option for paying suppliers abroad. They’re a widely known brand, and they’re cheap to use. However, they’re not necessarily cheap for you – they’re cheap for your suppliers!

Upfront you’ll receive a modest transfer fee, however where Western Union make their money is through their marked-up exchange rates. For sure, they over a fast, convenient service that’s secure, but you’ll need to be prepared to pay.

For what it’s worth, Western Union offer a solid service that’s secure and fast. It’s just not as cheap as using a dedicated money transfer provider.

International Wire Transfer

Another common way of paying suppliers in China is via an international wire transfer. It’s a go-to for so many people as it’s simple and suppliers are familiar with the method as well.

Often suppliers will look for a deposit via a wire transfer, particularly if you’re importing goods. Making this payment via a wire transfer can quickly become costly, and the cost of your initial deposit can end up far higher than expected.

When you send money via wire transfer, it goes through the various intermediary banks that all take a cut along the way – it’s what’s required to get your money transferred into another currency.

On top of this, your exchange rate might also be inflated to begin with. With a direct wire transfer, there’s also the risk of fraud as the transaction is made directly between you and your overseas party. In this situation, there’s no direct third party available to help you get your money back.

So while the wire transfer is a popular option, it’s often costly and can come with an element of risk.


PayPal is another popular option, especially when the recipient of the money has an account themselves. However, this can be rare as PayPal as a platform is still growing in China and most suppliers won’t have the platform or an account.

For what it’s worth, the time taken in getting your supplier to set up the account might cause further issues, and complicate a situation that’s not hard at all.

On the rare chance that the supplier does have PayPal, it’s going to be expensive as PayPal isn’t a dedicated money transfer provider, therefore they don’t have access to the best exchange rates, and often need to compensate with high transfer fees.

The Banks

The banks! Such a simple solution, right? Most banks offer the service right within their app. It’s easy to use and it’s even secure. But what’s the catch?

We talk about this so often throughout our blog. The banks offer a simple solution to transfer money, but unfortunately, they’re expensive. Like PayPal, international money transfer isn’t the core of their business and you’ll be forced to pay large transfer fees and inflated exchange rates.

As a quick summary, the bank are easy to use, secure and money transfers relatively fast. However, they’re expensive and become costly especially if you’re looking to transfer money to a supplier in China regularly.


As we enter 2020, cash is looking like more and more of a thing of the past. But still, we hear reports of people sending cash directly to their overseas suppliers. Cash is very popular in China, and often suppliers love to receive cash payments so this may be why it’s still a popular option.

However, transfer fees are still involved, and there is risk involved from a few different angles as well. Firstly, there’s no protection If your supplier decided to go quiet on you once you’ve sent the cash. On the other hand, simply sending cash in the mail is just plain risky. Most often you’ll be fine, but is most often isn’t enough for you when it comes to the security of your money?


Throughout this article, we’ve explored seven different ways you can send money abroad. We quickly established that using a dedicated money transfer provider like BFX Money Transfer is the best way to pay a supplier in China.

Across the seven other options, we came across ways to send money that were convenient and secure, but they came at a cost – the banks for example. On the other hand, we highlighted a few ways that were simply a poor option all-round, like cash.

After looking at each of the different ways we can send money to a supplier in China, it’s clear that going with a dedicated money transfer like BFX is your best option.

Join BFX Money Transfer 

BFX Money Transfer is a dedicated money transfer provider helping people exchange their currencies at great rates. Sign up for your own free account.

We are a registered AUSTRAC business, and pride ourselves on helping our customers get the most out of every money transfer they make.


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