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Avoid These ‘Red Flags’ From Freight Brokers

Avoid These ‘Red Flags’ From Freight Brokers

Behind any successful business relationship, there needs to be some degree of trust. Trust helps you feel confident in your decisions and the relationships you develop. Here in the trucking and transportation industry, you’ll find many honest and ethical people, however, there are some dishonest ones that you’ll have to be cautious about working with. In today’s blog, we’ll be taking a closer look at ‘red flags’ from freight brokers that you’ll want to keep an eye out for. If that sounds interesting, keep reading below for more! Or, if you’re owed money by a freight broker, call AWA at 662.892.8591 to help you get paid!

Red Flag #1 – Missing Licenses & Certifications

Though it may go without saying, you should always conduct a background check before you work with a freight broker to verify if they are legitimate or not. If a broker lacks licensure from the FMCSA and other regulatory bodies, then it’s best to avoid them altogether.

Red Flag #2 – Suspiciously Low Rates

The classic saying that reads ‘If you see something that’s too good to be true …’ certainly applies to the trucking and transportation industry, particularly when a freight broker offers rates that are questionably lower than the market standard. This is often seen in ‘bait and switch’ scams, in which victims are lured in by tempting offers only to find out they are false.

Red Flag #3 – Poor Communication Skills

This red flag is far from exclusive to freight brokers, as it can be seen in virtually every industry. Unprofessional communication is a telltale sign of a party that is not worth your time. Reliable freight brokers will communicate during regular business hours and not make unsolicited requests or proposals, especially not ones that ask for large sums of money.

Red Flag #4 – A Questionable Online Presence

Especially in today’s hyper-connected world, a company having little to no online presence can be considered a red flag. Reputable freight brokers will have some degree of an online presence, which often includes a website, online reviews, ratings, and other information that is important to know about. Typically, the online presence of a company is reflective of its reputation, so if it lacks an online presence, or has overwhelmingly negative reviews, for example, you may want to avoid working with them.

Red Flag #5 – Strange Payment Requests

The last red flag – but certainly not the least – is unusual payment requests. To provide an example of this, if a freight broker asks you to pay a large upfront payment without having provided any services yet, you may want to avoid them altogether. Another common example of this is when a broker asks for payment using an unusual payment method. Be especially cautious of transactions that involve personal accounts.

Does A Freight Broker Owe You Money? Consult AWA

Alexander, Winton & Associates specializes in debt collections for the transportation and trucking industry, having recovered unpaid invoices for countless clients. Unlike other agencies, we offer unique perks and benefits to our clients, to help them stay informed and aware of fraudulent and unscrupulous activity that happens in our industry. If you’d like to expedite the debt collection process, submit your placement through our website or call us at 662.892.8591.

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