How does cash on delivery work? Clearly explained

If you choose cash on delivery as the payment method in online shops, you only have to pay for the goods upon receipt. In this article, we explain exactly how this works.

How does cash on delivery work? - The sequence

• If you choose the payment method cash on delivery at the cash register of an online shop, you do not have to pay anything first.
• The sender, i.e. the online shop or a negotiator, determines an amount upon delivery that the recipient must pay when receiving the goods.
• As the recipient, you pay the goods directly to the deliverer in cash. Since the deliverers do not always have enough change with them, you should have the money ready as possible.
• If you are not at home at the time of delivery, you will receive information about a new delivery attempt from all shipping companies except DHL, usually on the next working day. If the goods were sent with DHL, you can pay for your shipment at a post office (cash or EC card) and collect it.
• The shipping company forwards the money to the sender after delivery.

Cash on delivery: these are the advantages and disadvantages

The payment method cash on delivery is offered by many online shops as an alternative to invoice, direct debit or credit card payment. Here is an overview of the advantages and disadvantages:

• For you as the recipient, it is a clear advantage that you only have to pay for the goods on receipt.
• A disadvantage is that this type of payment is usually associated with additional costs (about 5 euros), because the shipping companies can pay for the service.

Send parcels with cash on delivery - how does it work?

As a private individual, you can also send parcels or letters with cash on delivery.

• You can get a cash on delivery stamp and a corresponding collection receipt in each post office for EUR 2.40 (letters) or EUR 4.95 (parcels).
• Fill out both at home and stick the stamp on the letter or package. Submit the collection receipt to a post office, the money will be transferred to the specified account later.
• In addition, you must provide the shipment with the necessary postage. You can then send the shipment as usual.