how often do broker's not pay you?

We wrote off .0015 of total revenue to bad debts last year. Just be quick and organized on getting them billed ASAP and then follow up at 30 days. If no payment by 45 days then file on the bond. To be fair make sure it’s 30 days from the time you actually invoices them and not from the time you hauled the load.

One thing I look for is how long have they been with their surety company? Is it a new policy this year or has it been the same company since 2013? Bad brokerages burn through surety bonds quickly. There are a couple different companies that bad brokerages tend to use as well. I just can’t think of them off top of my head.

 

Do you check the Brokers credit through DAT or is there another way or a better way?

 

We watch the Baxter Bailey weekly email for what brokers are in their list. Then, just check out the DAT credit score, read any reviews, and look st the surety like I mentioned. Then, cross check that they aren’t on our own ban list. Also, you can see their credit score and days to pay history and see if it’s been consistent. Pretty much it, just pay attention and lookout for things that seem “off”.

 

I always checked to see how long they had their bond, but it isn't 100%. I just cancelled mine last year, and I bet it had been 15 years since we have brokered a load. lol

 

Welcome To Broker Credit Check

This website cross referenced with Ansonia credit reporting that Truckstop.com uses. Check the detailed report you’ll see how many customers have factored loads from that company and average days to pay. The website above is pretty accurate when cross referenced with big factoring company data, companies like Ansonia, RTS and etc

DAT reviews are pretty helpful to at times.

 

I've invoiced 150 brokers, or 150 loads in a year and a half. I've never not been paid. I've never been paid over 45 days except for one 60 day and I'll never use them again. Excuses, excuses. Most pay in 30-35 days but I give a check call at 30 if I don't have any correspondence from them.

I don't factor.

 

Currently out of pocket $35k, between two different brokers, both within the same month would you believe. FYI, you can’t file against a brokers bond, when it’s interstate work, Ask me how I know...

 

Yes that is correct. You can not file against a broker's bond if it doesn't leave the state, intrastate. Also what might be considered agriculture material can't file against a bond either.

It's real simple and I've done it a few times and won every time. Sue them at your local county court. You don't need a lawyer just pay court cost of maybe $60 which you get back if you win.

 

For 35,000 I might have a talk with my bat. lol

 

Sorry typo in my previous post, meant to say intrastate.

Yes next option is to file suit in the county court, small claims, one is under the $15k threshold so that’s a viable option, the other is over $15k, so not quite as simple unfortunately.

I suppose I should feel somewhat relived, they took another local trucking company for close to $200k.