The Broker Fee and Carriers During High Traffic Times

As we enter the Holiday season I just want customers to be aware of a few things.  When the broker gives you a price off the internet it is usually a low one just in line with other brokers as they all go against each other. They posted it on centraldispatch.com say for 650.00 and they are charging you 850.00 so they keep 200.00 dollars. During high times like right now cars are gong for 750 or higher. therefore, a carrier calls broker tells him he wants 800 as there are tons of cars and carriers have the pick of the litter. Broker agrees to pay 800 to carrier and their contract is 800.00 dollars. Your contract is 850 with broker so broker going to make 50.00 dollars. You think he is only going to make 50 dollars think again.

He charged your credit card 200.00 dollars already or once the car was picked up.

You are suppose to have a bank check or cash made out to xyz company for 650.00 once it is dropped off. However, this is were it gets fun. The carrier calls your tells you he needs a bank check or cash for 800.00 dollars and you say 650.00 carrier says if you want your car as my contract has it for 800.00 dollars. What are you going to do now.  The broker is no where to be seen or heard from. You need your car asap. You cave into the carrier demands and you are pissed off. You call broker and they never get back to you. A chargeback on credit card but that takes forever. At this point you spent 1000 on the transport and you are very mad.

If you contact me I do not posted on this centraldispatch board it will be on my truck or another 3rd party carrier that I use. I handle all the money and if there is a problem you just call me. Its not that hard but customers would rather try and save 100-150 dollars and transport  the car as I mention above.

Season Starting

With the season right around the corner please be careful when you select an auto transport company. The prices have started to increase already heading south.   There are a number of cars heading south and very few carriers. If you decide to use a broker please be careful as your car may never get picked up.

In deciding with a company do a google search and check the BBB to start. Also, check  the FMCSA website to see if they are a broker or carrier

https://safer.fmcsa.dot.gov/CompanySnapshot.aspx

Believe me brokers will tell you that they are a carrier and will do anything to get your business and deposit take my word for it.

 

 

Dog Days Of Summer

I hope everyone is enjoying the summer. Just got back from Macro Island for summer vacation with the family. I can see why everyone comes back for the summer:)

I will be sending out my e-mail list for this upcoming season to all my regular customers. If you are thinking about shipping this year make sure you do your research on the company you choose. Check them on the BBB, google them the brokers will tell you anything to get your business. Remember brokers can tell you a price but the car may never get picked up it happen ALOT last spring.

 

I tell customer just do your homework. With me I will be picking up your car and meeting you in person. However, if you are a good distance from me I will have to broker it out or meet me halfway. For me to go to Rutland, Vermont from Worcester, mass just isn’t worth the time just for 1 car and I will be straight up with you on it. Enjoy the rest of the summer and talk to you in the fall.

 

Carriers Insurance

As everyone is getting ready to make the trip home this spring a couple of things to keep in mind. The quotes you are getting are mostly from Brokers. All they do is posted in on a board and wait for a carrier to call to take it. Brokers just work on broker fee which means they take their fee from your credit card. Therefore, once the car is in the carriers hands you will be dealing with him. During the past year or so the rates for carriers (in Florida) have gone through the roof as there has been alot of funny business going on. A lot of carriers are running without no insurance. They can no longer afford the insurance but still have the truck and equipment, so they still run at night or avoid all the weight stations on the way up. Remember they have invested alot in the truck and still have to make a living so what choice do they have let it sit and make payments not going to happen. Please be careful most brokers really don’t care and what are you going to do if there is a problem just play phone tag with them.  You will be on your own.

Spring Season Return

 

The time is getting near as thousands of snowbirds will be heading back up north from Florida. It happens every year tons of cars and not enough carrier to move them. I tell my customer it usually take a little longer to get your car in the spring. This is because the supply of cars out number the number of carriers. I tell customer to be careful of the quote they get as only the cars priced right get move during this time. Just be careful if you decide to use a broker because lot of things can happen i.e. cars never gets picked up, they disappear stop taking your calls, or ask for more money that is only a few things I have seen.

 

I usually give out quotes about a month before your transport so please don’t ask for a quote 2 months before. thanks Jim

 

 

Is The Internet Good or Bad For Auto Transport

Is The Internet Good or Bad For Auto Transport

As I begin my 10th year in the auto transport industry I received a call the other day from a broker who has been in business 30 years and he was putting on a driver to help with his snowbirds. In talking with him he mention the internet has killed the business when he was driving up and down the east coast most of his customers came from referrals and good old advertising in the paper. The internet has killed the rates as the fly by night brokers post prices that are not even worth getting out of bed for.  Customer get these quotes and take it having no idea their car will never get picked up.  Don’t get me wrong the internet has help the customer as some brokers charge crazy money and list it for about 30% of what they are making keep 70% like in the winter months coming out of florida customer know that prices are low by just reading the internet and truckers need to buy fuel just to get back to get a load.  This has caused companies to go out of business or just say the hell with snowbirds. In addition, companies can’t find drivers to do the route because coming up they only get 25% of the load and with only 5 or 6 cars at 350-400 not worth it for anyone to make any money.

 

I think it has done more bad then good as some poor customer get stood up by brokers and their car never gets picked up like I had one this week broker stop answering the phone and the couple was already in florida. It came to me by a good old fashion referral.  I get calls from customer saying they got quotes for alot less I just tell them good luck. When I e-mail them my quote I give them this blog section to read to help them make a wise choice. What gets me is most brokers has no idea what is cost to run a business fuel alone is 3.50 gallon down south/insurance will run you 15-20k a year for a 9 car carrier the list goes on.

It cost companies alot of money to go OTR.

Bait and Switch

As we head into the snowbird season watch out for the following. It is called a Bait and Switch and this is how it works. Brokers all fight to get customers. They usually buy leads as customers put their information into a website site and you get about 8-10 different brokers calling/e-mailing texting you they will try anything  to get your business. Here is the problem as they are fighting against each other they end up getting in a quote war against other broker. Therefore, before you know it they are at 600.00 to move a car from Mass to Florida and no carrier is going to take that price. In addition they need to take their broker fee say around 100.00 dollars they are not going to do all this work and get nothing. They posted it on centraldispatch.com and no carrier calls on it because it is to low or carrier tells them they want 700.00 and broker is in trouble now. They have to call the customer back and tell them 800.00 remember they need to get their broker fee or they get nothing They tell you the price and remember it is a day before or after they tell you this. What are you going to do now. Cancel on them and start all over again not going to happen you bite the bullet and take the increase. The other option the broker stops taking your calls or disappears because they can’t find a carrier and guess what you are starting all over again now.

It very simple the high paying cars get picked up and the low ones sit. With the number of carriers going out of business because of the new elog or no longer going over the road because of the elog.  If you get a low price it is not going to move it is that simple BROKERS CAN’T MOVE VEHICLES THEY HAVE NO TRUCKS. I tell my customer the price and don’t price match as customers tell me all the time I got a lower price etc i tell them good luck take it.

 

So this season please be careful the number of cars going down is way more then the number of carrier plain and simple.

Upcoming season

As the summer comes to end the snowbirds will be heading south again. The season looks to be very interesting as prices will likely be higher due to the elog  that is starting to show after about 8 months. Actually as I write this today August 10th the price have started to climb. I was guessing about the first week in Sept it would start going up. Alot of companies have gone out of business or decided on another route because there is no freight coming up to the northeast prices  are going lower as broker now the season is about to start.

Please remember if you use a broker they will posted it on centradispatch and the first carrier that calls they will dispatch to. Not everyone on centraldispatch has the proper insurance as centraldispatch does not verify any of that it is up to the broker. Therefore, some broker don’t check insurance and dispatch the load they get their broker fee and that is all they care about. Believe me there are alot of carriers without insurance so just be careful.

Broker vs. Carrier

This is a question that you can only answer.

Broker- Is the middlemen don’t own trucks just puts the customer and carrier together. Has very little contact with customer after customer books order. During

good times they are great but during heavy travel season like snowbirds they can run into trouble.

Carrier- Companies usually have between 1-5 trucks and run the same route year around. There are only a few companies with 100 plus trucks. If a company call and say they are a carrier doesn’t mean they can help you their truck is probably no where near you.

In my case I run New England to Florida year around. when I have empty spots I usually call or look on a transport board Centraldispatch.com to fill spots. When a broker is not good during April and May when snowbirds are coming back,remember brokers don’t have trucks so they can quote you 900 dollars  but doesn’t  mean your vehicle will be picked up. With the new law that trucks must have ELD (Electronic Logging Device) in place Dec 18th  2017 has caused alot of small trucking companies to go out of business. Therefore, this spring if you sign up with a broker you better have a bad up plan as your vehicle may never get picked up

First wave of snowbirds

Here is the first week of Nov and the Oct rush of snowbirds is over. Please do not give your credit card number to any broker until the vehicle is picked up. These brokers play the game 24/7 and know how to work customers. If you read the fine print in their contract they can charge a fee for a number of reasons. also, do not put your information into one of those websites that you give quotes from 10 different brokers will be calling, texting, e-mailing you over and over again non stop. Do some research on companies go to the BBB website but stay away from brokers if you can. Remember if the price sounds t0 good to be true it probably is.