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Estimates: Binding & Non-Binding

When you receive estimates, you will receive a binding estimate or a non-binding estimate. The binding estimate covers the entire cost of the move no matter if the load weights more or less. The FMCSA governs the rules of a binding estimate. The binding estimate must include all services that will be preformed and have a thorough description of the shipment. When the load arrives at its destination, you cannot be charged anymore than what the binding estimate quoted. The binding estimate is a fixed rate so to speak and does not change as work progresses. You just have to make sure that everything is included on the estimate for it to be valid.

The non-binding estimate is an open estimate that is not binding and can change for any reason. The amount of time its takes to pack, load and unload the truck are calculated. The estimate is an approximate cost. The final cost could be more or in some cases, less than originally estimated. This estimate has to include all services rendered and the cost of every service. All the information and costs will need to be included on the bill of lading and the order of service agreement.

Never sign anything that has open spaces. Use a N/A for anything that does not pertain to your move. The non-binding estimate can be for weight rates or hourly rates. Typically, you can use a mover that offers a non-binding agreement if you have a small load to move. It might be less expensive than a binding agreement. If you are moving and need some help, contact a mover for an estimate and make sure to ask for a non-binding and a binding estimate to compare. You should receive bids and estimates from at least three moving companies before choosing the best one for the job.

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