The role that freight brokers play in the transportation industry is both vital and unique. This is because they are the middlemen that negotiate the deals between customers who want top-quality goods at the lowest price and those that transport the items which naturally they want to pay the lowest price possible. Good freight brokers understand the balance between getting fast, reliable transportation at the lowest price, but unfortunately there are bad freight brokers that truck drivers and transportation companies must face.
Who is the Broker not Paying Drivers?
Identifying a bad freight broker may not always be easy. With so many brokers dealing with so many shippers and transportation companies, it can be difficult to spot one since the information tends to be scattered. Unfortunately, most of the time the disreputable freight broker is only identified when they don’t pay you.
Reviews: If you can find independent review sites, such as the Better Business Bureau (BBB) for example that keep track of complaints, that can help you identify a freight broker who does not pay drivers on a consistent basis. Remember that the occasional bad review may not be enough to separate the bad freight brokers from the good ones who had occasional issues.
Competition: Calling up those in your industry who have worked with freight brokers can also provide insight. Anytime you are dealing with a freight broker you have never worked with, it pays to call up those who have and ask if they were legitimate in their dealings and their opinion of the way they were treated.
Rumors: While you should not believe rumors, you should check out those from sources that you normally find reliable. They may help you spot a potential bad broker, although you might end up chasing nothing depending on the source. Keep in mind that you cannot spend time trying to verify every rumor you hear, but when someone you trust tells you of a personal experience they had with the broker, it’s certainly worth checking out.
However, even the best methods cannot root out all bad freight brokers. This is because many of them have built up good reputations, but on occasion have denied full payment for reasons that are not all that clear. It’s possible that they did not receive from shippers as much as promised, weather delays might have ruined their profit, or they may have built-up too much debt that needs to be paid off now and you become the victim.
How to Deal with Bad Freight Brokers
The best way to deal with a situation where you do not get paid by the freight broker is to contact a reputable freight debt collector. Once you have waited long enough under the law for payment, a freight debt collector can take over and do the work necessary so that you stand the best chance of collecting.
With the freight debt collector doing the work, you can go on with your business uninterrupted while the debt is being pursued. This provides you with peace of mind as you keep your company operating knowing that everything is being done to collect what is owed to you.
You’ll want to use the services of freight debt collectors that specialize in the business. A standard debt collection company will not have the knowledge, experience, or skill-set compared to those who work in the freight industry every day. This means that they understand the best methods to deal with bad freight brokers and how to get what they have promised and contractually obligated to pay.
In the end, dealing with broker deadbeats in the right way helps to minimize their presence in the transportation industry. A broker not paying drivers is someone that need to be handled by the proper freight debt collection agency and perhaps the authorities if they do not correct their behavior. What is important is that those in the transportation industry who rely on freight brokers paying for their services must act quickly and not just blow off the occasional loss.
The good news is that freight deadbeats are far fewer in the US thanks to the Motor Carrier Protection Act of 2010. This provides the legal action needed to help prevent an occasional slip becoming a big issue with your finances due to brokers not paying what is promised. A good freight debt collector by your side also provides peace of mind. However, the more proactive you are in identifying and avoiding bad freight brokers, the better off your finances will be.