What Is a Rate Con?

A rate con or rate confirmation is a legal document that details the movement of a load from one location to another. That’s pretty cut and dried. The question “What is a rate con?” needs a much bigger answer. Because a rate con is the basis for all trucking.

What’s on a Rate Con?

What is a rate con’s purpose? Since it’s short for rate confirmation, the purpose of a rate con is to confirm the amount to be paid for the shipment. The critical details include

• Total Carrier Pay
• Load Number
• Broker/brokerage
• Carrier
• Shipper
• Consignee (the ones receiving the goods)
• Pick up and delivery locations, along with instructions
• Weight
• Miles

That’s the basics. Other special instructions may be included, or if there are multiple components to the load, they might be listed separately.

What’s In the Rate Con Fine Print?

Some rate cons have fine print – the little details that matter. These may vary from shipper to shipper, or broker to broker. They may include

• Accessorial Charges, such as tolls, residential delivery, inside delivery, changes in the destination during the shipping process, etc.
• Liability and Insurance, including who is responsible for what costs in the case of an accident. Special insurance for an extra pricy freight may be required by the shipper.
• Payment Terms, such as payment schedules, methods, and potential penalties or deductions.
• Cancellation Policies
• Broker and/or Shipper’s terms and conditions
• Weight and Dimension discrepancies – the adjustments needed when the freight isn’t what was represented in the original offer
• Detention and Layover specifics — when can detention pay be claimed and how much.

Those are rather important details to leave to the fine print. But it’s better to get everything into a contract from the start rather than have everyone in the shipping chain suffer because something isn’t clear.

Brokerage can’t be broke

Brokers need to make sure they’ve got a steady cash flow. That means they have to manage the money in the fastest way possible. That only happens when the invoices for rate cons are sent out in a timely fashion. That’s the biggest strength of TruckingOffice Brokerage software — all of the rate cons you create lead directly to the invoice you need to send to shippers. For companies that use TruckingOffice PRO trucking software, your rate cons immediately import into their software, which makes your drivers very happy and willing to work with you again.

You’ve got complete control of your brokerage companies finances right inside TruckingOffice Brokerage software. Why would you look for anything else to run your trucking brokerage company?

Free Trial Available Now

If you’re getting started in the logistics industry as a freight broker and starting your own truck brokerage company, you can try out TruckingOffice Brokerage software for free. Sign up today for a free trial to use the brokerage software you can afford – but can’t afford to miss!