SUPPLIER RISK
How to Check Whether a Chinese Bank Account Belongs to the Supplier
A practical process for comparing a Chinese supplier’s beneficiary account with its legal entity, contract and invoice before payment.
Start with the exact beneficiary name
Do not review only the account number or bank logo. Ask for the full beneficiary name, account number, bank name, branch address and SWIFT code on a formal payment instruction. Then collect the supplier’s Chinese business licence, pro forma invoice and contract so the names can be compared against the same transaction.
Compare the beneficiary with the Chinese legal entity
For a mainland corporate account, the beneficiary should normally identify a registered company. English spelling may vary, so compare the underlying Chinese entity and Unified Social Credit Code where possible. A bank located in China does not by itself prove that the account belongs to the supplier you intend to contract with.
Document every third-party payment structure
A different mainland company, Hong Kong company, trading company or payment service may sometimes collect funds for the supplier. That does not automatically make the arrangement fraudulent, but the relationship, collection authority and responsibility for the order should be explained in writing before payment. The contract should confirm whether payment to that beneficiary discharges the buyer’s obligation to the seller.
Treat personal accounts as a major exception
A request to pay an individual can create fraud, accounting, tax, ownership and recovery problems. Statements such as “this is our boss’s account” are not sufficient evidence. Pause the transaction, request a company-account alternative and obtain professional advice if the supplier insists.
Independently reconfirm changed bank instructions
Invoice fraud often appears as a last-minute account change. Do not verify the change only by replying to the same email or chat. Call a previously verified number, speak with a known contact and request signed confirmation. Check whether the sender’s email domain, wording or payment country changed.
Keep the payment check with the order file
The seller on the contract, issuer on the PI and receiving beneficiary should form a clear, documented chain. Save the business licence, account comparison, written explanation for any mismatch and independent confirmation record. A beneficiary-name match reduces one risk; it does not guarantee quality, delivery or repayment.