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How to pay dropshipping suppliers: A guide for global sellers

Last update:

December 5, 2025

Contents

One of the biggest challenges in dropshipping is building strong relationships with your overseas manufacturers. You need to be able to fully trust your suppliers to fulfil your orders promptly and accurately.

But an often overlooked way to strengthen your supplier relationships is by delivering secure, on-time payments. In many cases, that comes down to choosing the right payment method: one that’s secure, reliable and transparent. That method also needs to be cost-effective so you can protect your margins and maintain healthy cash flow, especially as your order volume grows.

While most international transactions are made through card payments or the SWIFT network, these are actually not always the best choices for dropshippers. They can be slow, expensive and difficult to trace, with transfers typically taking 3–5 days (or up to 10 in case of delays) and fees as high as $50 per outgoing payment.

Instead, at WorldFirst, we offer an alternative payment method specifically built for cross-border businesses: a multi-currency account built with the needs of e-commerce and dropshippers in mind.

In this guide, we’ll share why our World Account is the best choice for paying dropshipping suppliers, including:

Why WorldFirst is the best payment method for dropshippers
How to open a World Account
Four common dropshipping payment methods (+ why they aren’t made for long-term success)
Finding dropshipping suppliers: The three most common methods

Open a World Account for free now and start making secure, on-time supplier payments.

Why WorldFirst is the best payment method for dropshippers

Paying dropshipping suppliers shouldn’t be complicated, expensive, or slow – and that’s exactly why so many ecommerce businesses choose WorldFirst. Built for global sellers, WorldFirst gives you fast, reliable international payments with competitive exchange rates and no hidden fees.

With a multi-currency business account from WorldFirst, you can pay suppliers in their local currency, streamline invoices and manage all transactions in one simple dashboard. It simply removes the friction from cross-border payments so you can focus on growing your store.

For dropshippers looking for a smarter, more cost-effective way to pay suppliers worldwide, WorldFirst is the clear choice. Here’s why:

Pay trustworthy suppliers directly on 1688.com

When you join WorldFirst, you can take advantage of our exclusive integration with 1688.com, one of China’s top local wholesale platforms.

When you shop on 1688.com, you can choose from over 10 million products across 1700 categories, at prices 15% less than other wholesale platforms, and up to 40% less for bulk orders.

While anyone can browse 1688.com, paying for products on the platform from overseas used to require extensive workarounds. Thanks to WorldFirst, dropshippers outside China can now pay suppliers directly through the platform using our direct payment integration at checkout.

Simply link your World Account and 1688.com account in your World Account dashboard, then choose “World Pay” at the checkout on 1688.com.

Specialised verification badges make it easier to identify trustworthy suppliers on the platform, and you can message suppliers directly to verify their authenticity. 1688.com also allows minimum order quantities (MOQs) as small as 1–2 products, so you can test individual products before you start dropshipping.

Learn more: How to source wholesale using 1688.com outside China

Make same-day and next-day payments in 100+ currencies to 210+ destinations

With WorldFirst, there’s no waiting around for days-long wire transfers to settle. Instead, 80% of our payments land on the same day and 90% land by the next day.

Pay directly from your World Account in 100+ currencies to 210+ countries and territories. Local payment networks let you make supplier payments even faster in major currencies like USD, GBP, EUR and SGD.

What’s more, WorldFirst is also one of the few providers offering same-day payments to suppliers in Mainland China and Hong Kong in USD. With same-day supplier payments, 90% of transactions arrive within hours using our network of major Chinese banks including China Merchants Bank, Bank of Communications, Zhejiang Chouzhou Commercial Bank and China CITIC Bank.

You can also take advantage of free and instant payments to other World Account holders. It’s free for your suppliers to join and start receiving free instant payments; this gives you access to the 150,000+ Chinese suppliers who use WorldFirst.

Save on fees and conversion costs by holding funds in 20+ currencies

WorldFirst also helps you save on conversion fees with local currency accounts for major currencies. Use your World Account to hold funds in 20+ preferred currencies and avoid converting funds until rates are favourable or until you need to make a payment.

Your World Account also gives you local account details in each currency, so you can pay suppliers faster using local payment rails. You can also use any of your local currency accounts as a receiving account for major marketplaces and gateways like Amazon, TikTok Shop, Shopify Payments, Stripe and more.

There are no fees to receive or hold funds in your World Account, no monthly or annual fees and no account setup fees. All of our other fees are transparently listed on our pricing page, so you can calculate your costs before you pay.

Learn more: What’s the cheapest international money transfer method?

Protect your payments with WorldTrade escrow

As we mentioned above, one of the biggest challenges of dropshipping is trust: you need to know you can count on your suppliers and their legitimacy. Unfortunately, when you’re making a large payment to a new supplier, this trust is harder to guarantee.

Many online sellers choose to use an escrow service like WorldTrade in order to protect large payments and payments to new suppliers. With an escrow service, your funds are held by a neutral third party, and your suppliers don’t receive their payment until your orders have shipped.

WorldFirst’s WorldTrade also offers real-time order tracking so you can see exactly where your products are in transit. And with each WorldTrade payment, you also get instant payment confirmation for even more visibility and peace of mind.

Use WorldTrade for free when you pay for your orders directly from your World Account balance. Or, add WorldTrade protection to your supplier payments at 2.9% when you use a credit card.

Pay anywhere Mastercard is accepted with World Card

When you open a World Account, you get 20 virtual World Cards for free, which you can use online wherever Mastercard is accepted. Use your World Cards to pay suppliers on popular wholesale platforms like TaoWorld and AliExpress, or pay directly to suppliers who accept cards.

With 20 World Cards, you’re free to use different cards for different suppliers and separate out expenses for simplified accounting. You can also instantly freeze, unfreeze or cancel your cards or set custom spending limits for additional security.

Learn more: Multi-currency virtual cards: 5 top options for global businesses

How to open a World Account

To open a World Account for free and start paying dropshipping suppliers, visit our online registration portal with your mobile phone, email and IDs handy. Then:

Click Sign up and choose your region
Click Create account
Enter your personal details and business information
Upload any necessary qualifying documents (see our Account Opening Help page for a full list of documents you might need)

The account verification process typically takes less than 24 hours, but may take up to 48 hours. As soon as you’re approved, you’ll be able to start adding funds and paying your dropshipping suppliers.

Power your global growth with one account

Get local currency accounts, fast payments and competitive FX – all in one place.

4 common dropshipping payment methods (and why they aren’t made for long-term success)

Still not convinced WorldFirst is the right payment method for you? Remember that many common dropshipping methods are unreliable, slow or open sellers up to unnecessary risks or high costs.

Let’s take a closer look at some of the most common methods for paying suppliers and why they might not be the best fit:

1. Remittance Services

These services, which include well-known brands like MoneyGram and Western Union, are designed for individual payments. Services fees are especially high, and tend to increase with the payment amount, eating significantly into margins.

While online offerings are growing, payments typically require an in-person visit to a physical branch. Recipients are often required to collect their funds in cash and on-site, a process which may not project a high level of professionalism on the part of the sender.

While these payment methods are especially quick and simple for anyone to set up, this also makes them attractive to fraudsters and scammers. They also offer few or no buyer protections, so there’s little possibility of a refund in case of an error or issue.

2. Online money transfer services

Online money transfer services designed for individuals (eg. PayPal, Xoom, Wise) can be a great choice for very new sellers or dropshippers making very small orders from suppliers in underbanked regions.

Because of their low barrier to entry, these payment methods are incredibly simple to set up and accessible to virtually anyone. They’re also sometimes available as integrated payment options on popular wholesale platforms, making them a convenient choice.

The downside to these services is that they often have very high percentage-based fees that increase with the payment amount. Fraud flags and risk prevention measures can also trigger long account holds, which can tie up funds for days. In the worst case scenario, serious payment delays caused by these holds can lead to inventory shortages.

3. Traditional bank wire transfers

Long considered the gold standard for reliability and security, bank wire transfers are a solid choice for large enterprises and those with established banking relationships. They can be made through virtually any bank, and convey a strong degree of professionalism.

Unfortunately, these transfers – which can sometimes take up to 10 days – generally don’t come with any real-time visibility. You can’t track your transfer, and if your payment is unexpectedly delayed, you won’t necessarily know why or for how long.

Fees for bank wire transfers also tend to be too high for most dropshipping suppliers to make good margins. Depending on the bank, they can cost in the realm of $50 per transfer, and you may have to cover receiving fees for your recipient as well.

4. Credit or debit card

Credit and debit cards are often used for direct payments on supplier websites, and are typically available as a payment option on wholesale marketplaces. They may also be used in conjunction with buy now, pay later offerings that help you spread out the cost of each order.

Card payments might seem like the simplest and most convenient option for many dropshippers. However, they often come with high and hidden fees (especially FX fees), and they may have low transaction limits that prevent large supplier payments.

Another detail to keep in mind is that, while payments are authorised instantly, they still don’t necessarily settle quickly. Some cross-border suppliers choose to wait until settlement is complete – typically 1–3 days or more for international payments – before processing your order for shipping, which can result in delays.

Finding dropshipping suppliers: The 3 most common methods

If you’re new to dropshipping, you might be curious about some of the other ways to find overseas suppliers, particularly in China. Here are some of the most common ways to find suppliers and why they can be especially challenging for newer dropshippers:

Sourcing agents and sourcing companies: A sourcing agent is an intermediary partner based in your sourcing country who manages your supplier relationships. They take care of on-the-ground vetting and research, like visiting factories and meeting directly with potential suppliers.

While working with a sourcing agent is a convenient way to find trustworthy suppliers, agents can be expensive to work with. They also create a single point of failure in your supplier relationships: if your partnership with the agent dissolves for any reason, so can all of your supplier relationships.

Trade shows: Another way to find high quality suppliers by visiting trade shows abroad. While tickets are often free or very affordable, you still need to cover any associated travel costs, including flights, accommodation and more. For dropshippers looking to source products from China, this option is often cost prohibitive.

Besides the expense, another challenge to tradeshows is that they typically require at least some knowledge of the local language and culture. If you don’t speak Mandarin or another local language, there may be additional costs associated with hiring an interpreter. It is also possible to find trade shows in your home country and even online, though the variety of offerings may be more limited.

Online platforms: A number of online wholesale platforms have lots of great product offerings, and you can shop online just as you would on any marketplace. However, some of the best and most affordable platforms can be more challenging for foreigners to use, and you may need to translate a local language or navigate complex payment workarounds.

Many platforms also don’t offer ways to vet suppliers, so you have to carefully do your research in order to avoid scams. It’s critical to message suppliers, read reviews from past customers and test small quantities of new products first-hand before making large orders.

WorldFirst: A more reliable way to pay dropshipping suppliers

Paying overseas dropshipping suppliers is more complex than making other types of online payments. You have to navigate high fees, long delays, confusing currency exchange costs, communication issues and other challenges.

WorldFirst simplifies this process, giving you multiple ways to pay suppliers faster and cheaper than traditional methods. We also help connect you to more affordable products, and offer ways to protect your funds when you pay.

Open a World Account for free today and get approved in as little as 48 hours.

Frequently asked questions (FAQs)

What’s the most reliable and cost-effective way to pay overseas dropshipping suppliers?

For most sellers, the most reliable and cost-effective option is a multi-currency account that supports fast, transparent payments without excessive transaction fees. This gives your dropshipping business more control over timing, reduces currency conversion costs and provides real-time visibility into the payment process. Compared to a manual bank transfer, a dedicated cross-border solution can also streamline payouts and help protect your profit margins as your volume grows.

What are the main drawbacks of common dropshipping payment methods like remittance services, online transfer platforms, bank wires and card payments?

These different payment methods often come with high fees, slow settlement times, fraud-prevention delays and limited tracking. Traditional bank wires, for example, typically move through several payment processors, which can increase costs and lead to unpredictable delivery times. Remittance services can also appear unprofessional to suppliers and increase your risk of chargebacks, especially when handling frequent customer orders across marketplaces.

How can holding and paying in multiple currencies help dropshippers reduce fees and avoid costly exchange rates?

Holding funds in the same currency you use to buy dropshipping products prevents you from converting funds prematurely and helps you optimize the timing of each payout. It also lets you pay suppliers through local rails, which can be faster than moving money through a standard bank account or general-purpose payment gateway tied to an online store or ecommerce businesses. This flexibility is especially valuable for entrepreneurs scaling an online business.

Can I make same-day payments to suppliers in Mainland China or Hong Kong?

Yes. Some payment providers offer same-day transfers in major currencies to these regions, often through established networks of Chinese banks. This reduces your supplier’s wait time, improves order fulfillment, and helps ensure that every shipping address is processed without delays. Faster settlement also supports a more dependable business model, particularly when you’re selling products through a shopify store or syncing orders from platforms like ebay.

What are the benefits of using virtual cards to pay suppliers on wholesale platforms?

Virtual cards give you more control over supplier spending by letting you set limits, freeze cards instantly and separate expenses for each dropshipping store or ecommerce platform.

They can be used wherever the card provider, like Visa or Mastercard, is accepted, allowing smoother checkout on sites like AliExpress and TaoWorld. This also adds a layer of security during the checkout process while helping you keep payments organised upfront.

Shawn Ma leads business development at WorldFirst UK, with a deep expertise in fintech, risk management and cross-border commerce.

Shawn Ma

Author

Head of Business Development, WorldFirst UK

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