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Moving Broker vs. Moving Companies

Aug 25

It can be difficult to choose the right moving company for your move. When you start looking for the right company, there's one crucial decision: moving companies or brokers. Let's take a look at the pros and cons of each!

 

Moving Companies vs. Moving Brokers - main differences

We're not talking here about moving brokers. They don't employ any employees to perform the actual relocation. Their business is based on coordination with other moving companies. Moving brokers help you find the right company by getting quotes from various moving companies.

However, statistics on the relocation industry show that you don't always get a better deal if a broker is involved. There are many scammers out there.

Moving companies, or carriers as they are sometimes referred to, are full-fledged movers. These companies employ their own moving crew and have their own truck fleets. Although it may seem more expensive, it is more transparent than hiring a company directly.

What is a moving broker?

The intermediaries between the moving company and the household that is moving are called moving brokers. Brokers aren't actually movers. They don't usually own moving trucks or equipment or have professional staff. They are salespeople who "sell" the move and provide the ease of finding a moving company.

Moving brokers usually give estimates over the phone or online and then collect payment from the person moving. Based on the estimate, the brokers bid for the job to the moving companies. A moving broker can save you more money than hiring a company to move your stuff.

There are risks associated with using a broker. A broker might refuse to accept the job, which is usually due to a low estimate or lack of resources. The customer could be without a mover on the day of the move. Unlicensed or uninsured movers may be hired to do the job. The moving company might also charge additional fees after they have reviewed the entire job. The brokers are not liable for any acts or omissions by the hired moving company.

Federal Motor Carrier Safety Administration is working to strengthen consumer protections when using brokers. Moving brokers should:

  • Register with the FMCSA
  • The FMCSA Your Rights & Responsibilities When you Move booklet is available to the customer. Also, the Ready to Move brochure can be provided to the customer.
  • Give a list of moving companies that they use.
  • Only use FMCSA-registered movers.
  • Get a written agreement from the movers.
  • Base binding or non-binding estimates on tariffs of the mover who will transport the shipment.
  • Their ads will refer to their physical location and motor carrier number. They will also mention their status as a broker who arranges for household goods, but not household goods.
  • If the household goods are located within 50 miles of the mover's or agent's home, the mover should conduct a physical survey. The client can waive this requirement.

 

Why choose brokers?

One tangible advantage to using a moving broker is convenience.

You may need to hire multiple moving companies depending on the services you require. It would be quite cumbersome to do this on your own. Multiple moving companies could handle the logistics if you had a broker to help you.

Another advantage of moving brokers is their ability to contact other moving companies to try and land you as a customer. This approach can offer a significant discount to clients than dealing directly with movers.

Although all this sounds wonderful, in reality, there are a few drawbacks to moving brokers.

 

Why avoid brokers

It's not clear how the "moving companies vs. brokers" situation will play out. Although brokers can be great for customers in theory, their business model implementation leaves much to be desired in practice.

There are many fraudulent and irresponsible brokers. These companies and individuals don't believe in doing business in good faith. They are simply looking to make a quick buck or just do not care enough about finding you the best deal.

There are many moving scams that are perpetrated by moving brokers. These include taking goods hostage and claiming different prices than what they actually charge. You need to ensure that you are not dealing with dishonest companies. You can check the website directory to verify that your brokers are correct.

 

Moving Companies

We'll now look at the second option when it comes to choosing between moving companies and moving brokers. Moving companies are the traditional movers that you think of when you think about moving. These companies have their trucks and their movers in Tampa, fl. They also have an online quote calculator. It is much easier to deal with them than a broker. They do have ups and downs.

 

Why Choose Moving Companies

Moving brokers are more efficient than moving companies. Everyone is part of the same company, from the first person to answer your call to the last one that moves your stuff. You know who to call if you have a problem.

Overall, hiring a moving company directly means that you have a more consistent experience. You also won't need to coordinate between moving companies offering different services.

 

Why avoid moving companies

If moving companies offered only upsides, there would be no reason to hire a broker. As we've seen, moving brokers can sometimes get you a better deal.

Individual moving companies may offer a smaller service selection than moving brokers. This happens because brokers can help you get individual services from many moving companies. If you deal with a local mover, you might not be able to find car shipping or in-house cleaning services.

 

Conclusion

There are many reasons to choose moving brokers over moving companies. The decision you make in the end will depend on your particular circumstances. We hope you've been able to see all the important aspects.