Collect Freight Shipping

When you receive ocean freight shipping quotes online, it is often understood that the shipper who is exporting the freight is generally going to be paying for the transportation. Typically the freight is prepaid before going out. But sometimes in international shipping, there is another payment option called freight collect. This is the opposite of prepaid. In collect freight shipping, the consignee pays for the freight upon the arrival of the container. In essence, all of the paying responsibility belongs to the consignee.

If you need a clarification on how freight shipping collect payments work, you should consult a trusted freight forwarder who can give you more information about it. This type of payment information is also usually listed on a bill of lading for clarification. Some freight carriers allow collect payments and some of them do not. And among the ones that allow it, some of them have different rules. For example, sometimes they require the consignee to pay immediately upon the arrival of the freight in the port of destination. Or other times they give a 30-day grace period for consignees to complete the payment. Since the consignee is paying the bills, they are also granted the opportunity to dispute a claim if there is a problem. Other carriers might also allow the shipper who exported the item to be able to file a claim under certain circumstances. They might also say that it is the exporter who owns the cargo during the transit process before arrival. Paying for freight shipping by collect can be complicated sometimes, but is possible to complete.