Avoid Supplier Scams

1. Common Supplier Scams to Watch Out For

1. Fake Companies

Scammers create fake websites, social media profiles, or storefronts that look real but have no registered business behind them.

Warning signs:

• No valid business license

• No address or an address that cannot be verified

• Very new website with no history

2. Bait-and-Switch

Supplier promises high-quality goods but ships low-quality or completely different products.

Warning signs:

• Prices too low to be realistic

• Refusal to send samples

• No quality-control process

3. Payment Scams

Scammers ask you to send money using non-secure methods such as Western Union, personal accounts, or crypto.

Warning signs:

• Payment account name doesn’t match company name

• Supplier suddenly changes bank details

• Asks for full payment upfront

4. Middleman Posing as Manufacturer

A trading company pretends to be a factory to charge higher prices or hide the real production source.

Warning signs:

• Very wide product range

• No factory photos or certifications

• Cannot answer technical production questions

5. Ghosting After Payment

Supplier disappears after receiving deposit or full payment.

Warning signs:

• Rushes for payment

• Unprofessional communication

• No existing customer references

2. How to Verify a Legit Supplier

1. Check Business License

Request a clear photo of their Chinese business license (营业执照). Verify:

• Proper business scope

• Registered address

• Company status (active)

2. Ask for Factory Evidence

Request:

• Factory videos

• Real-time video calls

• Production photos

• Certifications (ISO, CE, etc.)

3. Verify Bank Details

Ensure:

• Bank account name matches company name

• Account is corporate, not personal

• No sudden bank changes during payment

4. Order a Sample First

A real supplier has:

• Fast sample service

• Consistent quality between samples and mass production

5. Use Third-Party Verification Services

Hire trusted companies for:

• Factory audits

• Quality inspections

• Container loading checks

This is one of the strongest ways to avoid scams.

3. Safe Payment Methods

Use secure, traceable payment channels:

• Bank Transfer (to company account only)

• Alibaba Trade Assurance

• PayPal (for small orders)

• Letter of Credit (for large orders)

Avoid:

• Western Union

• MoneyGram

• Personal accounts

• Crypto (unless verified long-term partner)

4. Bonus Tips to Stay Safe

• Avoid suppliers offering prices far below market average

• Always keep written communication

• Verify all contracts and PI details twice

• Never rush payments because of “urgent production” excuses

• Work with well-reviewed DDP or logistics companies for safe shipping Contact Information

  
  

  • Whatsapp: +86-18098151030Nancy/+91-9952044576Mallesh Gujjala/+86-181 2571 3582Rose/+86-13416222617Jack/+86-15918480524CC/+86-18125730121Kimi

  
  

  • Email: nancy@gmrglobal.co

  
  

  • Address: 201, Second Floor, PVR Building, Lawsons Bay Colony, Pedda Waltair, Visakhapatnam, Andhra Pradesh 530017, India

  
  

  672C+H8F, Vichoor, Echakuzhi, Manali New Town, Chennai, Edayanchavadi, Tamil Nadu 600103

  
  

  1315, 25th Main Rd, Kottapalya, Jayanagara 9th Block, Jayanagar, Bengaluru, Karnataka 560041

  
  

  Room 102, No.3 Zhongyi Feihe Street, Panyu District, Guangzhou

  
  

  Room 102, No. 9, Zhenhua Road, Lecong, Shunde District, Foshan City, Guangdong Province

  
  

  • Web:https://www.chinatoindiaddp.com/

  
  

  Thank you for reading. I look forward to further communication with you!

  #supplierscams #fraudprevention #safesourcing #verification #shipping