The broker bond is increasing to $75,000 in July 2013. All brokers must comply and must have a 3 year history in a relevant business or certified training. This will cause many small and financially unsound companies to go out of business. Our biggest concern is that carriers are going to get stuck with bill of ladings that will never be paid and broker bonds that are already maxed out.
As you already know High End Transport, Inc. pays its carriers within 2 business days of delivery. This means that we don’t use your money to pay OUR bills. We pay you first then wait sometimes 30, 60, 90 or more for the shippers to pay us. Be careful about which brokers you choose to pick up vehicles for, especially when we get closer to that July 31st deadline.
Another thing changing is severe penalties of $10,000 for EACH violation for BROKERING WITHOUT A LICENSE and UNLIMITED liability for payments. ANYONE brokering transport without a license including carriers will now be subject to those penalties.
If you would like a copy of the bill or the “cheat sheet” with the things that apply to our industry please email me. The team at High End Transport, Inc. values Carriers as partners in the Auto Transport Industry and we look forward to our continued relationship.