How do I pay an overseas freight forwarder from a US business?
Updated
Get a written invoice, confirm the bank or wallet details by phone with someone you already know there, then pay by wire, card (if the forwarder takes cards) or stablecoins if they ask for them. Keep the invoice, the bill of lading reference and the payment confirmation together so you can match them later.
Before you pay
- Get a written quote and a final invoice. It should list each charge: freight, origin fees, documentation, insurance if included, and who pays destination charges.
- Check the shipment terms. Whether you or the supplier pays for freight depends on the Incoterm on the sale. See our guide on Incoterms.
- Verify the forwarder. A fake forwarder takes money the same way a real one does. Look up the company, ask for references and call a number you found yourself.
- Check the payment details by phone. Bank-change emails are a common fraud. See our guide on supplier bank-change fraud red flags.
Ways to pay
Wire. Most forwarders accept an international wire, usually in US dollars. You need the beneficiary name, account number, and a SWIFT code or IBAN, depending on the country (see our SWIFT, routing number and IBAN guide). Intermediary banks can deduct fees on the way, and each wire carries a charge code (OUR, SHA or BEN) that sets who pays them. Ask the sending provider who bears the intermediary fees, and ask the forwarder to confirm the amount that arrived.
Card. If the forwarder accepts cards, a business credit card gives you a record and a statement line for the charge. Not every forwarder takes cards, so ask before the invoice is issued.
Stablecoins. Some forwarders ask for stablecoins. Confirm the token and network in writing, copy the address from a verified source, and send a small test first. See our guide on whether paying with stablecoins is safe.
Local transfer. A forwarder with a US entity may take a domestic US bank transfer.
What to ask for
- A commercial invoice with the forwarder's legal name and address
- Their payment instructions on company letterhead or from a verified portal
- The currency, and who sets the exchange rate if it isn't dollars
- A receipt after payment
Common slip-ups
- Paying a different entity than the one on the invoice
- Paying a deposit with nothing in writing about what it covers
- Missing a charge, then getting a surprise demurrage or storage bill
- Not tracking it against the shipment, so the cost never reaches your landed cost. See our guide on landed cost.
Customs duties are not paid to the forwarder in every setup. Ask whether the forwarder or your customs broker collects them, and who is the importer of record.
Where Shield fits
Shield gives wholesalers and resellers US business accounts, a business credit card and overseas payments in dollars or stablecoins. Where a supplier takes cards, you can pay by card, and where it doesn't, you can send a wire from your credit line. You can save counterparties so you don't re-enter details each time. Owners can live outside the US, with a US company.
FAQ
Can I pay a freight forwarder by credit card? Only if they accept cards. Ask before the invoice is issued.
Should I pay the forwarder in dollars? Dollars are the common choice for international freight. If the invoice is in another currency, ask who sets the rate.
Is it safe to pay a deposit? Only with a written description of what it covers and a verified payee.
Next step
To see how Shield handles overseas payments, visit Shield stablecoin payments.