Saving Big: Tips for Reducing International B2B Payment Fees

International business-to-business (B2B) payments have become an essential part of conducting business across borders. However, the fees associated with these transactions can add up quickly and eat into your bottom line. In this article, we will explore some practical ways to reduce the fees associated with international B2B payments.

Use a Reputable Payment Provider -

One of the easiest ways to reduce fees associated with international B2B payments is to use a reputable payment provider. Payment providers such as PayPal and TransferWise offer lower fees than banks and traditional wire transfer methods. They also provide added convenience with online platforms that allow you to send and receive payments from anywhere in the world.

Negotiate Fees with Your Bank or Payment Provider -

If you are using a bank or payment provider for your international B2B payments, try negotiating your fees. Some providers may be willing to offer a lower fee if you are a regular customer or if you are sending large volumes of payments. It’s always worth asking if there is room for negotiation.

Use a Foreign Exchange Provider -

When making international B2B payments, you may also encounter currency conversion fees. To avoid these fees, you can use a foreign exchange provider that offers better exchange rates than banks. Providers such as Unicorn Currencies, CurrencyFair, and OFX can help you save money on currency conversions.

Opt for Electronic Payments -

Electronic payments are typically faster and cheaper than traditional wire transfers. Consider using an online payment platform, such as PayPal or Stripe, or electronic bank transfers to reduce your fees. Electronic payments are also more convenient, allowing you to send and receive payments from anywhere in the world.

Keep Records of All Transactions -

It’s important to keep records of all your international B2B payment transactions. This will help you keep track of your expenses and ensure that you are being charged the correct fees. By keeping accurate records, you can also identify any discrepancies and take steps to correct them.

In conclusion, reducing fees associated with international payments is possible if you are willing to take a few extra steps. Using a reputable payment provider, negotiating fees, using a foreign exchange provider, opting for electronic payments, and keeping accurate records are all effective ways to reduce your fees. With these strategies, you can save money and improve your bottom line, while still conducting business across borders.