To ensure a broker is legitimate, ask these three key questions: If there are discrepancies, ask why, and use extra caution. Compare whether the name, motor carrier number, and all dates appear the same as the ones in the FMCSA database. The website will also provide you with additional information, such as whether the license has ever been revoked and later reinstated, and how many times that has happened.Įven if the broker checks out online, it’s always a good idea to request a copy of its operating authority. Make sure that it’s been renewed on time, and the required surety bond hasn’t been cancelled. Visit the agency’s website to check whether the broker you are working with has a valid license. All freight brokers are regulated by the Federal Motor Carrier Safety Administration (FMCSA). In order to operate, freight brokers must be licensed and bonded. But even such companies reach out to brokers from time to time to secure an important load. It’s not a rare practice nowadays, however, for a company to act as its own freight broker to save some money. Presumably, the freight broker has an extensive network of contacts in the shipping industry, and will know who to call and what to do. Brokers can take care of any size, weight, or specific measurement issues you may have to consider when dealing with a traditional shipping company. They should be able to find a solution to your most complex shipping needs. An experienced freight broker will know what those regulations are, and the paperwork required. Transporting goods interstate or even overseas involves many state and federal regulations. A good broker will approach each load with equal amounts of attention and diligence, and make sure you get the best possible price on the carrier services. He will seek out bids from a variety of companies that you may not consider otherwise, simply because you are unaware they exist.
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