Billing from TNT on an international consignment

klim

I've got a big problem with a consignment that's on it's way to me, and am wondering if anyone can help me out with any good knowledge on this subject.....

I export out of Cambodia to the UK for my business - have done so for the last 4 years. Regular (monthly) air freight shipments using TNT. I, or my suppliers, have always paid for this service in Cambodia - so have gone to the TNT office with the packages and paid cash at the time of sending.

This time, for the first time I wanted to pay as the receiver - so to pay the invoice in the UK. I called TNT to find out if this could be done, and yes - it is easy they told me. I have an account number with them so all my supplier has to do is tick the 'Invoice to Receiver' box on the consignment note and fill in my account number accordingly.

Great stuff - so:
~ My supplier has gone to TNT and the goods have been packed
~ TNT in Cambodia give him (so he can tell me) a total price - $743
~ He fills in the documentation and ticks the box so that I pay on receipt of goods
~ Packages are sent

So today I call TNT as I want to be totally sure I'm going to be billed at the same rate (I tend to be someone who mulls things over if I ever have niggling doubts). What I am told is that despite being quoted a total price in Cambodia, I will actually be billed by TNT UK at a completely different rate which TNT UK specify. Said rate means they want to charge me $1519 instead of what I would have paid - $743!

I have been through all their terms and conditions and cannot see anything anywhere to specify that the receiver would need to pay at a different rate. I am disgusted that they want to charge me more than double the price for exactly the same service - oh, plus VAT as well.

I'm just hoping by some miracle there's someone who can give me an insight into this. If it is the way TNT work then it is awful, but I can find nothing in their documentation which specifies this. For me, if person A tells me something is $10, then the term 'invoice to receiver' simply implies that person B will be invoicing me $10, not that person B will invoice me at a new invoice rate.

I'm attempting to run a small business and things like this are really killing me!!

martindow

The money paid in Cambodia would not include UK duty and VAT but your bill does seem to have increased enormously. TNT should send an invoice with a breakdown of the charges which usually arrive after delivery. Check this through.

I once had a TNT shipment where they had used an incorrect currency for the calculations. This had travelled from a Pacific island via New Zealand. The value was declared in local currency but TNT had put it through customs with the value in NZ currency. The charge was about ten times what it should have been. I queried the charge and it was corrected. Maybe something similar has happened to you. Can you see the route it has taken on the tracking?

Another thought - is USD 743 the cost of carriage only? What is the value of the goods? As I've said, their charge will include duty (usually a small percentage) and VAT 17.5% of declared value + shipping cost.

custardy

klim wrote: »

I've got a big problem with a consignment that's on it's way to me, and am wondering if anyone can help me out with any good knowledge on this subject.....

I export out of Cambodia to the UK for my business - have done so for the last 4 years. Regular (monthly) air freight shipments using TNT. I, or my suppliers, have always paid for this service in Cambodia - so have gone to the TNT office with the packages and paid cash at the time of sending.

This time, for the first time I wanted to pay as the receiver - so to pay the invoice in the UK. I called TNT to find out if this could be done, and yes - it is easy they told me. I have an account number with them so all my supplier has to do is tick the 'Invoice to Receiver' box on the consignment note and fill in my account number accordingly.

Great stuff - so:
~ My supplier has gone to TNT and the goods have been packed
~ TNT in Cambodia give him (so he can tell me) a total price - $743
~ He fills in the documentation and ticks the box so that I pay on receipt of goods
~ Packages are sent

So today I call TNT as I want to be totally sure I'm going to be billed at the same rate (I tend to be someone who mulls things over if I ever have niggling doubts). What I am told is that despite being quoted a total price in Cambodia, I will actually be billed by TNT UK at a completely different rate which TNT UK specify. Said rate means they want to charge me $1519 instead of what I would have paid - $743!

I have been through all their terms and conditions and cannot see anything anywhere to specify that the receiver would need to pay at a different rate. I am disgusted that they want to charge me more than double the price for exactly the same service - oh, plus VAT as well.

I'm just hoping by some miracle there's someone who can give me an insight into this. If it is the way TNT work then it is awful, but I can find nothing in their documentation which specifies this. For me, if person A tells me something is $10, then the term 'invoice to receiver' simply implies that person B will be invoicing me $10, not that person B will invoice me at a new invoice rate.

I'm attempting to run a small business and things like this are really killing me!!

well for starters
paying COD will nearly always incur charges
have you gotten a break down on the cost?
I assume you have been paying duty on the previous shipments?
if not has you supplier been undervaluing on the declarations?

klim

Thank you for your replies. The rate of $743 I should have paid to TNT in Cambodia is purely the door to door freight charges, the rate that TNT UK are quoting me, again, is purely for the freight charges. The reason, I have been told, for such a big difference is that the per kg cost TNT UK charge is much higher - and it is them I am now making the booking with. The value of goods declared in both cases is exactly the same, and in both cases I will be expecting a separate invoice for Duty etc.

custardy

klim wrote: »

Thank you for your replies. The rate of $743 I should have paid to TNT in Cambodia is purely the door to door freight charges, the rate that TNT UK are quoting me, again, is purely for the freight charges. The reason, I have been told, for such a big difference is that the per kg cost TNT UK charge is much higher - and it is them I am now making the booking with. The value of goods declared in both cases is exactly the same, and in both cases I will be expecting a separate invoice for Duty etc.

$ or £?


....................................

klim

custardy wrote: »

$ or £?


....................................

Oh, definitely $ - all the facts are exactly as per my explanation.

However...

I've managed to come to a rather fantastic conclusion. My contact in Cambodia has been to TNT, changed the way the consignment is being handled and paid the $743 over there. I assume on arrival with me it would have been too late, and am surprised that she managed to do it at this late stage (goods in transit for 3 days so far), but am very happy with the conclusion.

To summarise:
~ If my sender had paid it would have been a usual low Asian rate
~ By ticking the box that says 'Invoice to Receiver' that means that no matter what you are quoted in Asia, TNT in the UK will apply their own rates - which in my case were more than double.

Beware.

custardy

klim wrote: »

Oh, definitely $ - all the facts are exactly as per my explanation.

However...

I've managed to come to a rather fantastic conclusion. My contact in Cambodia has been to TNT, changed the way the consignment is being handled and paid the $743 over there. I assume on arrival with me it would have been too late, and am surprised that she managed to do it at this late stage (goods in transit for 3 days so far), but am very happy with the conclusion.

To summarise:
~ If my sender had paid it would have been a usual low Asian rate
~ By ticking the box that says 'Invoice to Receiver' that means that no matter what you are quoted in Asia, TNT in the UK will apply their own rates - which in my case were more than double.

Beware.

well if you think about it then it would have to work that way
if you are paying TNT UK
then its going through their accounts and is liable for UK taxes,levies etc