OMG the brokers scam again...

Discussion in 'Freight Broker Forum' started by Chizel, Jan 19, 2016.

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  1. Jan 19, 2016 #1
    Chizel

    Chizel Bobtail Member

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    Mar 11, 2012
    Miami, FL
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    Hi everybody, I just have to inform you that brokers are putting a scam to work and profiting big time . What they do is book a load with a shipper for say $1000 and then they post on a load board for $3000. A trucker or trucking company sees this as a good rate and they book it. They also book the load with the shipper who sees this as a good rate. Both sides have contract load agreements. When the load reaches its destination that's when all hell breaks loose because both sides have load agreement contracts at different rates. Has this happened to anybody out there? because this has happened 3 times to us in less than a month. I feel sorry for the truckers because they really worked hard and when they reach the destination they realized they got scammed. The last trucker thought he was getting $6000 for a load and we only had a $2,000 contract on it. If you send the money to the broker the trucker never sees a penny, and then the trucker opens up a case on the shipper or the broker but you've been had. Some brokers rack up hundreds of thousands of dollars and then just shut down the operation and start up a new company, new address, MC number, etc.
    Can somebody tell me what's going on?
     
    Chizel, Jan 19, 2016
    Chizel, Jan 19, 2016
    #1
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  3. Jan 20, 2016 #2
    MrEd

    MrEd Road Train Member

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    I can understand shippers needing to move freight as inexpensively as possible. But as soon as they see they are working with an unethical broker, why do they stay with them. Why would they risk reputation and profit from being associated with such crooks. I guess I just don't see how they keep getting away with it.
     
    MrEd, Jan 20, 2016
    MrEd, Jan 20, 2016
    #2
    taxihacker66 Thanks this.
  4. Jan 20, 2016 #3
    fortycalglock

    fortycalglock Road Train Member

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    You should start using more ethical brokers before you get sued and have to pay out. Yes you heard right, if the broker won't pay, the shipper is next in line, and it doesn't matter what "contract" you have with the broker.
     
    fortycalglock, Jan 20, 2016
    fortycalglock, Jan 20, 2016
    #3
    DSK333, double yellow and bbechtel16 Thank this.
  5. Jan 20, 2016 #4
    DUNE-T

    DUNE-T Road Train Member

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    OP, do you check broker's rating before booking a load?
     
    DUNE-T, Jan 20, 2016
    DUNE-T, Jan 20, 2016
    #4
    alien4fish Thanks this.
  7. Jan 20, 2016 #5
    truckthatpassesyouby

    truckthatpassesyouby Road Train Member

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    So, there's no transparency. That sounds like a problem.
     
    truckthatpassesyouby, Jan 20, 2016
    truckthatpassesyouby, Jan 20, 2016
    #5
  8. Jan 20, 2016 #6
    snowwy

    snowwy Road Train Member

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    I"m not understanding how the shipper is seeing it at a good rate. When they already have a contract with the broker for a lower rate.

    Did i miss something in the opening statement?
     
    snowwy, Jan 20, 2016
    snowwy, Jan 20, 2016
    #6
  9. Jan 20, 2016 #7
    rollin coal

    rollin coal Road Train Member

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    TN
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    Stop using brokers with new MC #'s. Although these days you could even get burned by established brokers. Western Express brokerage is having credit issues right now. Like people say if a person wanted to run up hundreds of thousands or even millions in freight charges as a broker, collect that from the shipper, then skip the country and never pay the carriers - there is really nothing to prevent that from happening.
     
    rollin coal, Jan 20, 2016
    rollin coal, Jan 20, 2016
    #7
    dog-c Thanks this.
  10. Jan 20, 2016 #8
    fortycalglock

    fortycalglock Road Train Member

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    Back when I had to worry about it, two years in business or COD. Heck I even gave TMC some grief when they changed their name from Annett.
     
    fortycalglock, Jan 20, 2016
    fortycalglock, Jan 20, 2016
    #8
  11. Jan 20, 2016 #9
    CJndaTruck

    CJndaTruck Road Train Member

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    Nov 21, 2014
    Knoxville, TN (area)
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    Simple answer OP. Only use well established brokers. The cheapest shipping rate is cheap for a reason. You get what you pay for in Shipping/receiving (trucking) just like in buying a car.
     
    CJndaTruck, Jan 20, 2016
    CJndaTruck, Jan 20, 2016
    #9
    Michael91184 and Reliable Koop Thank this.
  12. Jan 20, 2016 #10
    glockwise

    glockwise Light Load Member

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    Not sure why use established brokers is the answer people keep offering? 2 years? 20 years? Did you like that answer when you were new?

    How about performing some due diligence? Know who you're working with? Apparently even knowing your job responsibilities? 3 times in 1 month...really? When it hurts to bend your finger that way, stop bending your finger.
     
    glockwise, Jan 20, 2016
    glockwise, Jan 20, 2016
    #10
    thejackal Thanks this.
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