Until recent, the $75,000 surety bond required by Oct 1st was seen as a requirement that could put thousands of freight brokers out of business. While the bond market has softened, allowing anyone who wants a bond to qualify without collateral, a $75,000 bond premium can get costly. In this article we will identify how to avoid associated costs you may not be aware of and possibly offset your bond costs completely through other savings.
Avoid Hidden Costs
Many sureties base freight broker bond approvals on your personal credit and require extensive personal and business financial information. If business financials are required, you can add CPA fees to your list of expenses, as financial statements must be audited. CPA fees can be as high as the bond premium in some cases, running between $2,000 and $5,000.
With JW Surety Bonds’ exclusive bond program, we have never required financials, which presents a huge savings to our customers. Even with our recently announced $75K bond program to be discussed below, financials are never needed for approval. In fact, in most cases, our bond premium will be lower than what you can expect to pay your CPA.
How to Escape Collateral
Freight brokers are usually required to post collateral if they are considered a high risk for triggering claims, which is often in the freight industry. For the $75K freight broker bond, most surety providers want 100% collateral.
At JW Surety Bonds, there is no collateral required; not even for the highest risk clients. We promise a 99% approval rate based on your credit alone. Apply directly on our website to get a quote with no collateral.
Make Sure You Get the Lowest Rate
Anyone can make the claim they have the best rates, but in reality they vary drastically by each bond agency. In the surety world there is safety in numbers: the greater the number of bonds written by an agency, the less risk there is to the surety company, translating to lower rates.
As the leading agency in the U.S. for freight broker bonds, our high volume offers more attractive risk for our surety partner resulting in the best rates and terms for our customers.
The $75K Bond Program You’ve Been Looking For
JW Surety Bonds is pleased to offer the most competitive freight broker bond program in the country. Created in response to the substantial bond increase, there is no match anywhere – and you can get approved in less than 5 minutes:
• No collateral ever
• No financials required
• Lowest rates anywhere
• Good or bad credit
• A+ rated, Treasury-listed surety
One size truly does not fit all with freight broker bonds. Take a closer look at our program and secure your bond for the lowest possible cost.