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  • Category: Miscellaneous

    What are the advantages of cash on delivery option?

    In online business there are three kinds of payment modes. One through the bank transfer, credit card payments and the last being the cash on delivery method. While the bank transfer and credit card payments are recorded and safe the cash on delivery is something risky for the customer and the company offering the products or services. And the cash on delivery option is costlier than the other payments and thus the customer is the loser. There is always chance of customer rejecting the parcel for no reason as there is no commitments.
  • #722637
    True, For Cash on Delivery, the supplier would charge extra. It is due to the customers' rejection of the items at the time of delivery itself. It is essential that we should have a bank account linked with the supplier. So, it is easy to get the money (COD) refunded to our bank account. I have received many items with the COD option, and successfully returned and refund obtained. The extra charge is the problem with COD.

    There are local fake companies that don't have any COD option. With such companies, never do any transaction online. We would lose our hard-earned money. Beware.

    No life without Sun

  • #722644
    Actually there is no problem with any of these options from big business sites like Amazon, Flipkart, Paytm, etc. Occasionally sometimes, selling companies give some discount on specific credit or debit cards on online payment. This discount we cannot find with COD payment. One more problem with COD payment is , sometimes there may be a problem of correct change to pay to the agent and secondly Covid problem. At present, companies also allowing customers to pay with ATM cards at home also. If we pay ATM or online in case of return of article, the amount will be returned to the bank account easily.

  • #722650
    When the product seems to be right then why extra charge for COD option?
    K Mohan @ Moga
    'Idhuvum Kadandhu Pogum "
    Even this challenging situation would ease

  • #722655
    Online payment is the best way of online shopping. The biggest advantage of this is that if you have to return the product due to any reason, then you get the entire amount of money in the online payment easily, whereas after making the cash payment, there is a problem in the condition of the return.
    Swati Sharma

    Keep your Face to the SunShine

  • #722666
    The delivery person accept card payment also. COD can be said as Cash on Delivery, and Card on Delivery. Some suppliers prefer Card on Delivery than Cash on Delivery. On line transaction or card transanction would ensure safe refund of amount, if we happen to return the item.
    No life without Sun

  • #722678
    Though payment can be made in anyone of the three options but the biggest draw back exists in Cash on Delivery mode if due to any reason, the customer wants to return back the delivery due to rejection from his side. Though Paytm, Amazon, Flipcart etc would not have any objection for dishonouring the commodity but cash payment option will make you difficult to get back your paid amount where as in other two options, refund of the amount would take place without hassle. Hence payment through bank transfer or through the credit card is the most preferred option.

  • #722691
    Is it risky for the company to go for COD option by customer.
    K Mohan @ Moga
    'Idhuvum Kadandhu Pogum "
    Even this challenging situation would ease

  • #722698
    Cash on delivery is also accepted by many vendors. They may charge a little extra. After ordering without paying any advance, if the customer rejects the material what action the vendor can take on the customer? That will make him lose some money the vendor spent for delivery. So he will take a little extra as he is taking that risk.
    Even we pay in advance we will not lose anything. It is just a matter of 3 or 4 days maximum. As such if we have the capability of paying in advance we can do that so that we can save some money. Many times we pay in advance only online and we are saving some money when we order online as the rates are less in this mode.

    drrao
    always confident

  • #722704
    When you are dealing with the online shopping portal or with the particular seller for the first time, you may not be very sure of the fulfilment of the ultimate delivery. When you make the advance payment, you have to sit with fingers crossed til the consignment reaches you. But in the case of COD, you can be less worried a you have not paid money. It is the seller's worry if he needs the transaction fulfilled and get a good feedback. At the same time the seller also has a high risk of the customer cancelling the order or returning without paying. The portal also is not assured of payment. Hence they also have some risk. That is why some portals or some sellers add charges in COD.
    If you had made advance payment in the case of return you will be getting the refund after a few days. So you lose the interest on your money for so many days. In the case of some shopping portals you have to be at their mercy till you get the money back in your account. (Earlier some shopping portals were refunding the money into their wallet only)

    But with regard to established and reputed shopping portals, the payment choice is purely our convenience especially when it is under their ' fulfilled' or 'guaranteed' terms.

  • #722707
    @ Sheo Shankar I had purchased mobile phone 2 years back through Amazon on cash on delivery and after 2 days I noticed that it's screen had a crack so I asked them to get their product back. And after the phone was collected by their executive I got my money back in my bank account as it was linked with the site. You have to link your debit card to get the money back.

    COD has a draw back as you have to pay some extra money than you pay the bill online.

    Sanjeev

    " The two most important days in your life are the day when you are born and the day you find out why? "
    – Mark Twain


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