Freight Collect
Category: Logistics
Also searched as: Freight Collect
Definition (plain English)
A freight-payment term where the consignee or destination-side party pays the freight charges.
Why it matters commercially
Freight collect affects cargo release cash, buyer/seller cost scope, and whether destination teams are ready for carrier settlement.
Example
A buyer accepted freight collect only after finance confirmed destination payment method, currency, and release fees before arrival.
Common mistake
Assuming collect means cheaper freight instead of a different payer, timing, and release obligation.
Use this in CommerceKit
Payment Terms Cost / Risk Calculator
Use tool →Freight Cost Per Unit Calculator
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