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- There are several warning signs that a freight forwarder may be fraudulent. One red flag is if the company is unwilling to provide references or proof of their services. It is also a cause for concern if the company is not transparent about their fees or if they request payment through an unsecured method such as wire transfer.
www.sino-shipping.com/avoiding-scams-with-freight-forwarders/Avoiding Scams with Freight Forwarders: A Comprehensive Guide
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Oct 17, 2024 · Be alert and knowledgeable to avoid being a victim of freight forwarding scams. Learn more about the various frauds surrounding the shipping and freight forwarding industry and how to avoid them in this infographic by Excelsior Worldwide Freight Logistics Corp. Scam #1: Holding your good’s Bill of Lading (BOL) for ransom.
There are ways to identify genuine freight forwarders. There are also ways to protect yourself from being scammed. The activity of Freight Forwarding has been around for many years and there has been a recent resurgence of the forwarder especially in the form of a digital freight forwarder.
- False Promises of Low Prices. Many freight forwarders will quote you a low price but add hidden fees later. Ensure to get a detailed quote in writing before agreeing to use a freight forwarder.
- Delay Tactics. Some freight forwarders will deliberately delay your shipment to collect extra fees. This can be extremely frustrating, so track your shipment closely.
- Not Delivering the Bill of Lading. A Bill of Lading is a legal document that proves that goods have been shipped from one place to another. It is also a contract between the shipper and the carrier, and it outlines the terms and conditions of the shipment.
- Cargo Theft. Cargo hijacking by scam freight forwarders is a serious problem that can have serious consequences. Cargo theft is the illegal taking of a shipment of goods while in transit.
Aug 4, 2021 · Although there are many genuine logistics companies out there, fraudulent freight forwarders are on the rise. The most common victims of scams in our industry are the importers and exporters who prefer going it alone rather than hiring the services of a competent freight forwarder.
Sep 27, 2023 · A freight forwarding scam is a fraudulent scheme in which individuals or entities pose as legitimate freight forwarding companies or agents to deceive individuals or businesses seeking shipping or logistics services.
2 common freight forwarder scams and how shippers can avoid them before getting cheated when importing and exporting goods.
Mar 30, 2021 · Recognize that while fraud is on the rise and a risk to be aware of, most freight forwarders are not out to scam you. A trusted supplier should be able to demonstrate their track record in freight forwarding.