Buying from abroad over the internet: Good advice to help you get best value
We alert you to some of the pitfalls and show you how to get best value
These days, it's possible to buy almost anything from almost anywhere, over the internet; The on-trend fashion house in New York, the specialist jeweller in Hong Kong, those fabulous silks from India... all are accessible for a few clicks of the mouse. But when you click on "buy", just what is included in the cost? We highlight some of the charges associated with buying from countries outside the UK and Europe that often get overlooked, and look at the process of importation.
When buying from abroad on the internet, you will usually be purchasing through the seller's e-shop, from which they will sell the majority of their goods to buyers within their own country. For this reason, prices can often be deceptive and it pays to be very clear what the advertised price includes. For example, your goods may appear to be very reasonably priced, but what happens once you factor in the exchange rate, and the cost of packing and international shipping? And what about importation and customs charges? It's almost certain that these will not be included in the advertised prices, as the seller is unlikely to be handling these for you.
Once you've handed over your credit card details, paid for your goods and the postage and packing/shipping charges, that might be just the start.
Here's what else you may need to be prepared for:
- On anything valued at £18 or over, you will be charged VAT. Only if you are VAT registered will you be able to reclaim this via your quarterly VAT Return
- Driven by the value of the imported goods, there will be import duty. If this amounts to £7 or more, it will be charged to you
- There will be a Customs charge
- There will be a Customs clearance fee - that's a fee for administrating the process of customs clearance and completing the importation of your goods legally into the UK.
Once your order is shipped, your goods will arrive by a variety of means. Smaller items will usually arrive by post or by ParcelForce, handled by the local sorting office. If you are out, they should leave a card to say they have attempted a delivery, with instructions on how to obtain your goods. Some consignments will arrive via courier delivery services who will leave similar notification in the event of a failed delivery attempt.
Larger consignments or bulk purchases may arrive through a freight forwarder. They will contact you prior to delivery and there may be additional charges including airline handling fees, storage and delivery fees for example, or further fees which could be determined by the issuer.
It's practical, it's enjoyable and it can be very advantageous to buy from overseas. By paying close attention to the additional fees and fully understanding the means by which your goods are to be shipped, you can go a long way towards avoiding nasty surprises and making sure your internet buying experience is a good one.
