VTL TRANSPORT (Ventureline Transport) Double Broker

@ Queen D I can't believe people now complain about Carriers paying too quickly. I understand why we all make comments when brokers/ carriers pay too slowly. If factoring companies can take a discount, why do they slight carriers for taking a discount? And why does any of it matter if a carrier agreed to it in writing?
 
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@ Loaders. How would the Notice of Assignment help in this case? IF VTL pays a carrier in 7 Days, and the factoring company advances the end carrier, How does the NOA insure the end carrier does not get paid twice? Personally, i agree with Queen D, if a carrier can get away without full time Factoring, thats the best for them and take discounts when they need to only.
 
theman said:
I'm not with a factoring company. I'm with a transport company and I just smelled a rat with this. Follow the string from the beginning and you'll understand why.
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I Have to agree with LOADERS. Why would the end carrier want a discount from the carrier, and, factoring? How can he afford both discounts?
 
I don't think anyone is complaining about a carrier, or anyone for that matter, who pay their invoices promptly.From my reading of the threads on this post, the complaints seem to be about a carrier who reduces the amount of the invoice without notification. Yes, they pay quickly with a discount, but was that the original agreement? If it was, all is good. If it wasn't, not so good. When you add in the allegations of double brokering, the whole thing starts to take on an unpleasant aroma.
 
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htcollections said:
Now we complain about people paying too fast. From what I've seen with their paperwork, they offer quickpay or 45 days at their choice. Read your paperwork always guys! 7 Day quick pays seem fair especially when carriers tell you up front!...
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I used to work at a company that offered a 2% early payment discount if the invoice were paid within 10 days. Problem was, many customers would short-pay us - take the discount and pay late. Not cool. It seems to me that there should be no problem for a broker or factor to earn/take a discount for ensuring early payment, as long as all parties agreed to this. The problem arises when one party unlaterally decides to take a discount that was unearned or not agreed upon.

The NOA should ensure the carrier doesn't get paid twice because the broker should NEVER pay the carrier directly (quickly or in the normal course) after having signed it - unless of course they receive a termination letter.
 
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I have seen carriers try to deduct as much as 10 percent I suppose as long as it was agreed to prior, is understanding. !0 is a high number though. Factoring companies charge much less. 5 % percent is pretty standard. CH ROBINSON is one of the best. They advance drivers 50 percent as soon as they pick up the land, then pay the rest 24 hours after they receive the invoice and POD. 3 percent is their fee. Pretty good company, at least payment wise. I do hear from t\some carriers that they do not like the rates, but at least the rate is agreed to prior.
 
Personally i think 10% is high BUT if agreed to then what is the problem.

I have agreed to 10% before. It was my choice.
 
Some brokers (especially the big guys) go really skinny on the margin on certain things and make it up by using smaller carriers who are more likely to want the quick-pay. CHR and Hub I know for a fact employ this as a strategy and I would venture to say a lot of the other bigger ones do as well. Being cash rich has its advantages for sure.
 
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theman said:
Some brokers (especially the big guys) go really skinny on the margin on certain things and make it up by using smaller carriers who are more likely to want the quick-pay. CHR and Hub I know for a fact employ this as a strategy and I would venture to say a lot of the other bigger ones do as well. Being cash rich has its advantages for sure.
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100% agree.
 
As For CH Robinson, i think it is a huge risk for them to pay half in advance. Good for carriers that need fuel, not good if the carriers doesn't deliver. 3 percent deduction seems very good for a one day quick pay. Most are 7 days, or 5 days
 
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@Rana and @Soccermom, I'm pretty sure I'd take lots of heat if I charged 10% factoring fee. If that's what you're willing to accept for QuickPay, you should know that you can do MUCH better.
 
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@Key Factor. Discounts are one thing. Finance rates are another. 60 Percent is the legal limit i am sure you know. A lot of drivers do not have even 5 Percent profit on loads unfortunately . Tough Times for drivers these days. Rates have gone down while the costs have gone up.
 
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I just did a local load for VTL mississauga yesterday - confirmed they do have the insurance with Economical.

I did only one load piror and they quick paid me in 7 days
 
I have done 8 loads now with VTL Toronto( Not Montreal) They have Quick paid us between in every instance.
They are insured with Economical and i verified this again a few moments ago.
I m not sure why people make false comments , Shouldnt you verify insurance before you give a carrier any deliveries?
 
Try checking to see how many trucks are insured and you will have your answer for double brokering. They call other carriers their owner operators. They were making a couple of hundred dollars on 4 loads by brokering them, then when they discount the rate by 5% on an Ontario to AB run that adds up to a lot of money.
 
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