Escrow Accounts
 

Have you dealt with a company withholding $ in an escrow account so they can charge you for damages, freight claims etc? We have never dealt with this before and we just found out the company we are getting ready to say yes to does this. They take out $50 a month until you get to $500. They told us when we were talking to them we weren't charged for freight. This is what most of the form says....

Now I think it is great to set up an escrow account in case of DOT fines etc but the rest makes me nervous - the equipment damage, freight claims and chargeable accidents.

My husband is an excellant driver but things happen. Am I over reacting or could this put our family in jeopardy financially? I've heard of companies doing this but this is the first time that we have seriously considered/worked for one.

Isnt that what he pays insurance for?

What you r telling me is he will keep your money and make an insurance claim should there be an need to? It appears that you will be paying his deductible if he were to make a claim. And if your husband has not made any mistakes driving, delivery etc, what then? Will he be reimbursed?

Just a few things that crossed my mind when reading your thread.

You don't say if he is an O/O or a company driver. If an O/O this might be an accepted practice. But if he is a company driver, I would RUN away from this company. In my opinion it is never OK for a company to charge a driver for business losses whether it is the driver's fault or not.

The company is in business and they are receiving the rewards, making profits and therefore should also take the losses without trying to make up some of it from their drivers. I bet when they make a ton of money they don't share with you !!!!

A decent company will not do this. They have remedy for drivers that don't work out......termination of employment.

In no way would I work for a company that would expect to be able to charge things to me and take out of my pay.

By the way, no employer can make deductions from your pay unless they have it authorized by you in writing. So,always be careful of what your sign when starting with a new company sometimes they will want you to sign a "blanket" authorization for payroll deductions.....never ever do this

The bottom line is that you can just about garuntee to lose any and all money in this so called escrow account.

Like Kip said I would walk away now, and be $500 richer for the experience.

BTW: You might wish to check the employment laws in the state this company is based in. In some states it is actually illegal to charge or withhold money from an employee for any loss the company has or may suffer as the result of the employee.

I had an "escrow account" with $$ {2%} taken out of the ck until it reached $1K {to cover the deductables on claims, abandoned trucks, ect}. The account paid GOOD interest and there was no limit on how much you could put into in. I never had a claim and over two years saved a nice sum {I bumped it to 27% of my weekly ck}. :D

I had a Company do that, and when I refused to breakl the law and to listen to the Dispatcher turned Doctor, they came and got the truck. They took the escrow, my finial pay and then turned me in to a collection agency for another 2300.00.

I had to start charging the Collection agency to call me and write me so they would stop pestering me, for I was not and will not pay it. The Company owes me..

How do you charge a collection agency for calling and writing you? :?

I would like to know as well, unless he meant file charges against the agency.

I know here in IL if you tell a collection agency to stop calling you and they continue you can file harassment charges against them and even take them to court.

I sent them their own paper work back to them as a Bill. Did they pay no, but they stopped calling and writing. Over 2 years and not heard a word since.

I wrote a statement such as,

Navajo Shippers of Commerence, Co, is in debt with me of the amount of 3000.00 and I owe them nothing. After time and time of informing you of this, I had told you if I hear from you again you will owe me also.
So here is the Bill for your Harrassment letter and phone call., $1,000.00
Due upon receipt.. Navajo Shippers Amount Owed $3,000.00 Plus $2,000.00 total $5,000.00 Payable Due on reciept.

Will my credit rating take a hit? Maybe, but I have learn if you do your home work, you still can get what every you want even with bad credit. Now my Credit score is on the raise again.

Thanks

My husband is a company driver. After all the research we have done this is truly the ONLY thing that we have found that makes us nervous. I just got an e-mail back from the recruiter (yes they put it all in writing!)

She put her answers after my questions so that's why it is short and sweet...