In international trade, cross-border transfers are a common form of payment, but sometimes transfers can be delayed, causing inconvenience to both parties and even affecting business progress.The reasons for this situation are diverse, and understanding these reasons can help take appropriate measures to avoid or resolve problems.

Risk and Interception of Money Transfers

Banking supervision in high risk countries:
Some countries involved in international money transfers are considered high-risk countries, and their cash flows are specially regulated.
(2) Transfers from these countries may require additional review processes, resulting in delays in transfers.
(3) The bank may not have notified the recipient in a timely manner about the information on the debt, and it is necessary to actively contact the bank for confirmation.

Interception of intermediate banks:
(1) When using the International Direct Interbank Communication Network (SWIFT), intermediate banks such as JP Morgan or Bank of the United States may intercept certain transactions for risk considerations.
(2) Particularly when money is sent from pro-China countries such as Pakistan, money may be intercepted because of the risk of misjudgment.
(3) Solving this problem usually requires the receiving bank to communicate directly with the intermediary bank in order to confirm and facilitate the transfer process.

Technical and operational issues

The company name is too long:
(1) System input restrictions in many Western banks result in large company names not being fully entered, resulting in incomplete information.
(2) This may result in the transfer of funds being unable to be deposited directly in the destination bank.
(3) It is necessary to submit to the bank an appropriate deposit warranty letter or request to adjust the account name to simplify the processing.

The number of intermediate banks:
The banks of some small countries do not have directInternational SettlementThe agreement requires the transfer to be completed through several intermediate banks, which usually extends the transfer time.
(2) Choosing large banks with a good settlement network in international business can reduce this delay.

Internal banking efficiency:
The efficiency of processing international transfers between banks and their branches may vary significantly.
(2) Major banks in large banks typically process faster, while some smaller banks may process more slowly due to resource constraints.
(3) When the business volume is large, cooperation with more efficient banks or branches can be considered.

c) Resolving and preventive measures

To obtain detailed proof of payment:
(1) Require foreigners to provide detailed water sheets containing authentic SWIFT statements, so that the exact time and path of payment can be seen.
(2) This helps to distinguish between delayed customer payments and delayed banking processing.

Frequent communication with:
Maintain regular communication with the bank, especially when large amounts of money are expected to arrive.
(2) Follow up in a timely manner to detect and resolve possible debt or interception problems as soon as possible.

The Reserve Plan:
For major transactions, consider setting up emergency solutions, such as setting up multiple receiving accounts or using multiple payment methods, to mitigate the risk of problems with a single payment channel.

Understanding and addressing problems that may arise in international transfers is critical to ensuring the stability of money flows and trade. Enterprises can effectively manage these risks by adopting appropriate preventive measures and response strategies.