A Guide on How to Buy from Overseas Stores

With the rise of e-commerce, buying products from overseas has never been more accessible. E-commerce stores from other countries can have a wide range of unique items that may not be available locally. They might even offer the things you want at a better price. However, it also comes with challenges, including shipping logistics, currency conversions, and customs regulations.

To navigate these complexities, it's important to understand the step-by-step process of how to buy items online from overseas stores.

Step 1: Choosing the Right Website

Selecting a reputable e-commerce site is crucial for a safe and hassle-free shopping experience. Before making a purchase, take the following steps to verify a retailer’s legitimacy:

• Check international shipping policies: Ensure the retailer offers shipping to Singapore and review their shipping terms, including delivery times and costs.
• Read product reviews and store ratings: Look for customer feedback to gauge both seller reliability and product quality.
• Verify contact information: A trustworthy retailer typically provides clear contact details, such as a physical address, customer service channels, and responsive support.

Step 2: Checking Prices and Currency Conversion

Before buying things from an overseas store, it's essential to consider exchange rates and any additional fees associated with your chosen payment method. Fluctuating currency rates and transaction fees can impact the final cost, so using a reliable currency converter can help you estimate the total amount accurately. This ensures you stay within your intended budget and avoid unexpected charges.

One convenient way to check exchange rates is through Google's currency converter, which provides real-time exchange rates based on publicly available data. However, keep in mind that the final rate applied by your bank or payment provider may vary due to markup fees or service charges.

Step 3: Be Acquainted with the Common Payment Methods

When buying from overseas stores, knowing the available payment options is crucial for a hassle-free transaction. Many international retailers accept multiple payment methods, each offering different benefits in terms of convenience, security, and potential fees. The common payment methods include the following:

Credit and Debit Cards (Visa or MasterCard)

Most international stores accept major credit and debit cards like Visa and MasterCard. These cards offer convenience and are widely supported. However, be mindful of foreign transaction fees that some banks charge for purchases in a different currency.

PayPal

PayPal is a popular payment option for international shopping due to its added security features and buyer protection policies. Additionally, you can link bank accounts or credit cards, making transactions seamless. However, it's important to note that some merchants may charge additional fees for PayPal payments, so check the terms before proceeding.

Digital Wallets (Google Pay, Apple Pay, Alipay)

Digital wallets enable quick and secure transactions, minimising the need to enter card details for every purchase. Some international retailers, especially in Asia, support Alipay, while others may accept Google Pay or Apple Pay. Ensure that the store accepts your preferred wallet before making a purchase.

Before finalising a payment, confirm that the retailer supports your chosen method and check for any additional charges, such as foreign exchange fees or processing costs. 

Step 4: Understanding Shipping Methods

Knowing the different shipping methods available allows you to opt for the most cost-effective and reliable option when you shop in overseas online stores. Their costs, delivery times, and tracking availability may vary depending on the method you select. 

These are some of the common international shipping options, along with their pros and cons:

Standard International Shipping

This type of shipping method is considered an economical option for international deliveries and is typically offered by major online retailers.

Pros:

• Lower shipping costs
• Suitable for non-urgent orders
• Available for most international purchases

Cons:

• Longer delivery times (may take weeks)
• Limited tracking options
• Higher risk of delays during customs processing

Express Shipping

Also known as expedited shipping, express shipping is a more cost-efficient option for urgent deliveries, often having your shipments delivered within a few days. 

Pros:

• Faster delivery times
• Reliable tracking and updates
• Lower risk of lost packages

Cons:

• Higher shipping costs
• May be subject to customs duties and taxes
• Not always available for all retailers

Parcel Forwarding Services

If an overseas retailer does not offer direct shipping to Singapore, parcel forwarding services can help bridge the gap. A parcel forwarding company provides you with a local address in the retailer’s country, receives your package on your behalf, and then forwards it to Singapore.

Pros:

• Access to international retailers that do not ship to Singapore
• Ability to consolidate multiple orders into one shipment, reducing costs
• Flexible shipping options based on budget and urgency

Cons:

• Additional handling fees may apply
• Requires registration with a forwarding service provider

Step 5: Customs, Import Duties, and Additional Fees

It's essential to account for customs fees, import duties, and additional charges when purchasing items from overseas and shipping them to Singapore. Understanding these costs in advance can help you avoid unexpected expenses and accurately estimate the total price of your purchase.

GST on Imported Goods

All goods imported into Singapore are subject to Goods and Services Tax (GST) at the prevailing rate. The GST is calculated based on:

• The customs value of the goods, plus any applicable duties
• The last selling price of the goods, plus all duties

However, GST does not apply to imported goods (except dutiable products) if their CIF (Cost, Insurance, and Freight) value does not exceed SGD 400. If the CIF value exceeds SGD 400, GST is charged on the entire sum.

Import Requirements

Before the actual importation, you may be required to obtain a customs permit. To do so, you must first register with ACRA or the relevant agency to obtain a Unique Entity Number (UEN) and activate your Customs Account.

Tariff and Duty Calculation

In addition to GST and customs permits, it’s crucial to determine if tariffs apply to your purchase. Tariffs and duties on imported goods are classified using Harmonized System (HS) codes, which the Singapore Customs Department relies on to assign the correct rates.

Although Singapore generally imposes low or zero tariffs on most products, rates can vary based on the item’s country of origin and classification. Checking the HS code of your item beforehand allows you to estimate potential duties and make an informed purchasing decision.

How Com&Buy Makes the Process of Buying from Overseas Stores Easier for You

Buying things from overseas retailers can be complex due to shipping restrictions, high international shipping fees, customs regulations, and varying payment methods. To simplify this process, Com&Buy offers a parcel forwarding service in Singapore that provides a seamless and hassle-free shopping experience.

With Com&Buy's Buy For Me service, overseas shopping has become even more convenient. Should a retailer not offer direct shipping to Singapore or limit certain products to specific regions, Com&Buy steps in to purchase these things on your behalf and forward them to your doorstep. Our Buy For Me service is available in multiple countries, including Korea, Japan, China, and more, giving you access to a wide selection of brands and exclusive products that may not be available in Singapore. Additionally, we offer package consolidation and bulk shipping services, allowing you to combine purchases from different stores within the same country to save on shipping costs.