You have shipped the order, the buyer has paid in cash — and your money is still sitting with someone else for a week or two.
The cash-flow problem nobody talks about
Many shipping partners remit COD money on a 7–15 day cycle [1]. For a growing brand that means lakhs of rupees locked up while you still pay for stock, ads and salaries. Add unexplained deductions of 2–4% and days spent reconciling courier statements, and COD becomes a cash-flow drain [1].
Why remittance gets delayed
- Long contractual remittance cycles with aggregators.
- Multiple courier partners, each with its own statement.
- Manual reconciliation of delivered, returned and lost parcels.
- Deductions for weight disputes and charges you cannot trace.
What to look for in a partner
- Same-day or next-day settlement to your bank.
- One ledger for every order, charge and payout.
- No wallet recharge before you can ship.
- Clear, per-shipment pricing with no monthly plan.
How RakshaSetu fixes it
RakshaSetu offers same-day payment settlement and a single dashboard ledger where every order, shipping charge and payout is visible. There is no wallet recharge and no monthly plan — you pay only for what you use.
Start free — ₹0 a month →Frequently asked questions
How long does COD remittance take in India?
It varies by partner, commonly 2 to 15 days. Same-day and next-day settlement options now exist and make a big difference to cash flow.
Why do I see deductions in my COD remittance?
Usually weight discrepancy charges, RTO charges or COD handling fees. A single ledger that shows charges per order makes them easy to verify.
Sources
- [1] Shipmozo — Top COD remittance problems faced by D2C brands
Figures are industry estimates from the sources above and vary by category and business.