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-   -   Freight Brokers!!! Need I say more!! (https://www.classadrivers.com/forum/owner-operators-forums/34180-freight-brokers-need-i-say-more.html)

pigrider 06-07-2008 06:16 AM

Freight Brokers!!! Need I say more!!
 
It pisses me off to think that they consistantly lie and try to keep our FUEL SURCHARGE and no one seems to be trying to do anything about it!!

OOIDA sent out a e-mail saying that they took the fight to congress but I sometimes wonder how effective is OOIDA!

Sorry just had to vent!

Greedy/Crooked Freight brokers hurt the business more than the high cost of fuel!

GMAN 06-07-2008 11:08 AM

It isn't the brokers who are the main problem. It is those owner operators and carriers who are willing to haul freight for less than it costs them to operate. There are some dishonest brokers out here, but the main problem isn't the brokers but the owner operators and carriers. The fsc is irrelevant if you get a good rate. Each load is negotiated separately. If you don't get the rate you need, the walk away. No one forces you to take a cheap load. When you take cheap freight you are only encouraging those who offer it.

pigrider 06-07-2008 12:15 PM

G Man I can not agree more!!! I refuse to haul cheap freight!! It is not that I think that I am any better thatn anyone else, but I just can't afford it!!

A couple of weeks ago I had a broker trying to offer me less than a dollar a mile to haul a load of lumber from Dallas to Memphis!

NotSteve 06-07-2008 12:39 PM

Keep in mind that many areas like Dallas to Memphis and Boston to PA offer loads for less than $1.00 per mile and have no problem getting them covered. These areas are bad to haul into. The large companies get more than a decent rate going in and taking a low rate coming out still nets them a good amount of money. These loads are a prime example of a back haul. It's not the independents that are taking them but the large carriers. I have to agree it's better for them to haul a load out for that amount instead of having their trucks dead head to a better area. For us independents it doesn't make much sense.

GMAN 06-07-2008 12:39 PM

I mark brokers who insult me with such low rates off of my list. I don't even bother to call them. More than likely that broker was taking about 50% of the rate for himself. Often the shipper is paying higher rates but the broker keeps way too much of it for himself. While the fsc bill may sound like a good idea, they don't have any teeth to enforce the bill. Until they have consequences to their bill it is basically a worthless piece of legislation. I do like the transparency aspect of any bill. I see nothing wrong with brokers and/or shippers listing the amount of money the broker receives as well as what the carrier is paid. Rates can differ significantly from one broker to another for the same load. And the shipper may be paying the same rate to all of them. It would really be much better if the broker was restricted to being paid a 10-15% commission on all transactions, especially from the government. One of the biggest problems we have are those brokers who want to charge as much as 8% to pay early. I have had a couple of brokers want to charge me from 5-8% to pay early for a military load. The military pays the broker within 24-72 hours from the time the load was delivered. They usually don't even need the original bills since everything is done electronically. The broker received his money within 24 hours but wants to charge the carrier 8% to pay within a week. I won't play that game with brokers. Brokers should be required to pay the carrier within 24 hours from the time they are paid by the military. Some shippers prepay as well, yet there are brokers who will charge the carrier a premium for paying early. They use your money for up to 30 days. Not all brokers do this, but some do.

rlj19 06-14-2008 02:12 PM

better check
 
The bill by the ohio sherrod brown has passes not sure the date it goes into effect . But I would sure be you mention it to your broker to make him aware of the fact you do know about the law . keep records so you have documentation and proff if you feel in violation

GMAN 06-14-2008 02:23 PM

It will be interesting to see the final version of the bill. Without serious consequences for non-compliance, things won't change much.

DD60 06-14-2008 09:05 PM

Quote:

Originally Posted by NotSteve
Keep in mind that many areas like Dallas to Memphis and Boston to PA offer loads for less than $1.00 per mile and have no problem getting them covered. These areas are bad to haul into. The large companies get more than a decent rate going in and taking a low rate coming out still nets them a good amount of money. These loads are a prime example of a back haul. It's not the independents that are taking them but the large carriers. I have to agree it's better for them to haul a load out for that amount instead of having their trucks dead head to a better area. For us independents it doesn't make much sense.


The load I picked up yesterday out of Dallas payed 2.52per loaded mile with a 100-mile deadhead. Granted it is only going 635 miles to NM but I did get a 2.15pm reload out of NM. 2 weeks ago I took a load out of Dallas paying 2.60pm going to UT when the broker originally offered 1.75. All these loads were one-pick one -drop and no touch and they weren't even frozen. There is no excuse for taking freight paying 1.00 a mile. Brokers like to make us think that these areas are bad areas to try to convince us to move the cheap stuff but it is all b.s. Just post your truck and wait for the right phone call. :)

GMAN 06-15-2008 08:11 PM

I agree with DD60. Freight in some of the so called slow areas often pays much more than is initially offered. There is one thing for certain. Freight MUST move. It is a matter of at what price it will take to move the load. Rates will continue to rise until someone takes the load. I have seen it happen over and over again in many areas of the country. If you cannot afford to sit for a day to get a good rate, then you are in the wrong business. You don't make money by moving the truck. You make money by moving the truck at a fair rate.

Ridge Runner 06-16-2008 01:54 PM

[quote="GMAN"]I agree with DD60. Freight in some of the so called slow areas often pays much more than is initially offered. There is one thing for certain. Freight MUST move. It is a matter of at what price it will take to move the load. Rates will continue to rise until someone takes the load. I have seen it happen over and over again in many areas of the country. If you cannot afford to sit for a day to get a good rate, then you are in the wrong business. You don't make money by moving the truck. You make money by moving the truck at a fair rate.[/quote]


Quote:

You don't make money by moving the truck. You make money by moving the truck at a fair rate.

I think that would make a GREAT "tag line" for you. :wink:


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