Broker $10,000 bond petition

If there have been enough claims on the bond then you won't be paid. There are other reasons that a claim may not be paid. It could take time to file on a bond. It can also take time to collect once the claim has been filed. The best protection is to check out people before doing business with them. I have owned several businesses over the years. It never occurred to me to not check out anyone whom I extend credit. The bond is more a feel good piece of legislation to give some a false sense of security so that they don't need to do their homework in checking out brokers. It also is designed to limit competition. I have known some who will take a load without making the first call to check authority, their bond or references. I would guarantee you that most owners who have problems collecting from multiple brokers or shippers have failed to properly check out those companies before doing business.

 

All good points, taken. I was simply pointing out that the bond cannot just disappear if the broker does. True on the amount of claims too. If there are 100k of pending claims against a 100k bond then ur SOL.

 

This will suck for me just starting into the business that figures though just my luck

 

If you stick with the larger brokers starting out, you should not have a problem as long as your paperwork is in order. Just take the time to check out any new broker or shipper who wants you to haul a load for them. It doesn't usually take that long and if the broker is in too much of a hurry to give you time to run you to run your background checks, then pass on the load. Most won't mind waiting until you check their references. Those who do mind are likely to cause you a problem.

 

Any bond is BS. I decide who I want to extend credit to. I don't need the government passing this type of law to "protect" me from myself.

So with the increased bond many hard working people that want to start their own brokerage business are going to need to become agents of the mega broker. Boy, I feel better knowing TQL is going to get bigger and train some of these people just entering the market.

 

What about one Horn Transportation anyone know about these guy's they said can get trained through them.

 

Yeah the bond is out for this poor boy

 

This won't stop the bad brokers. All they'll do is find a loop hole or get the money to do it and continue ripping you off. It will put the good "mom-n-pops" out of business. I'm from a larger brokerage company, and while I won't sign the petition because something needs to be done... there are some serious edits that need to be made to this bill before it's completed.

 

No to mention the petition is old. We are now fighting the $75K law.

 

does anyone know the avg difference in cost for a 10,000 bond versus a 75,000 dollar bond?


i know in construction and other areas performance bonds are standard, honestly i really would wonder if the difference between 10,000 and 75,000 bonds would put someone out of business. if thats the case they are on really shaky ground to begin with.

so , how much is the difference actually. i know when i got bonds the difference in 25,000 to 100, 000 was only 3 to 400 bucks difference.