Know About Freight Factoring Fees

 Trucking freight factoring companies are transparent and upfront. The only charge factoring fees rely on the invoice percent you have agreed to in advance. On the other side, if you wonder speaking with a trucking factoring company that is genuine and credible, here is what you need to ask about the fees:



  • Sign Up Fees

Some trucking factoring firms make you pay a sign-up fee just for filling their application with no guarantee of being approved. This fee depends on what a firm is offering.

  • Monthly Volume

Some freight factoring companies charge monthly minimum fees and ask you to sign a contract to factor in many invoices every month. Sometimes, monthly minimums can be tied to a lower rate. Your fee can automatically go up for the remainder of your contract if you don't meet that minimum for a month. These minimums can be a concern if your truck breaks down or you need to take a vacation.

  • Per Invoice Fee

Some trucking factoring firms charge a per invoice fee to create the factoring rate look lower. This fee is inclusive of each invoice you submit for payment.

  • Credit Check Fee

Checking your shippers' and brokers' credit is a valuable tool to ensure you will be paid. In addition, the creditworthiness of your shippers and brokers is an invaluable tool to help ensure you will be paid. You should ask what service the factoring company is using to check credit. It is important to ensure a reliable source with good information.

Learn about freight factoring services for a hassle-free process!

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