What is a moving broker? It’s important to understand that a moving broker isn’t the same as a moving company as you plan your move. Instead, moving brokers connect customers with moving services. A moving broker is a licensed and bonded company that often sources quotes from different moving companies in your state to provide multiple options. They can also facilitate other services related to your move. Additional services they can arrange are packing, shipping, car transport, and more.
Moving brokers are an excellent way to streamline the moving process because they are familiar with the ins and outs of long-distance relocations. Their services allow you to focus on other aspects of your move.
Let’s explore how moving brokers work and when hiring them for your move might make sense.
Key Takeaways
- When comparing a moving broker vs. a moving company, the most significant difference is who owns the trucks and physically performs the move.
- Moving brokers pair customers with the carrier best suited for them based on their needs and required services.
- Carriers are the companies that use trucks and personnel to complete the move.
- Hiring a moving broker for your long-distance move can save significant time when comparing quotes from several carriers at once.
Main Differences Between Moving Brokers vs Carriers
Moving brokers connect customers with the carriers they need based on their unique cross-country move requirements. They find appropriate carriers, vet them for experience and value, gather estimates, and coordinate the logistics of a move. Their goal is to be as comprehensive as possible.
That said, moving brokers are “middlemen.” The primary difference between moving brokers and carriers is that brokers don’t own moving trucks or employ movers directly. Instead, they use their existing partnerships with these moving companies. You partner with the broker who does the work of selecting a moving company for you based on price, size, location, and any other specific needs you have. Carriers, meanwhile, are the actual moving companies who will handle your belongings.
When considering working with moving brokers vs. carriers, keep the following details in mind:
Moving Company Brokers
One of the biggest benefits of working with moving company brokers to handle your residential moving services is the convenience of having someone else handle logistics on your behalf. You can often access a broader range of services and competitive pricing through a network of reputable moving companies.
Of course, that third-party help also means you don’t have complete control over your move. In addition, because brokers rely on third-party carriers for services, they don’t directly contribute to your experience on the day of your move.
Moving Company Carriers
Working directly with professional movers can offer some benefits. It gives you direct engagement and control over your move, and you can personalize the experience by communicating directly with the movers. If you work with a carrier, you and your chosen carrier are accountable for organizing the entire moving process, from packing and loading to transportation and unloading at your final destination. It also means taking the time to research and vet suitable carriers and comparing rates on your own.
Common Questions About Moving Brokers
Now that you know the difference between moving brokers and carriers, let’s answer some common questions that people might have about how brokers work.
Can a company be both a carrier and a freight broker?
Sometimes, a freight broker can act as a carrier. But it’s not a common occurrence. Companies that serve as both must differentiate roles and adhere to regulations.
What is a moving agent?
Moving agents are different than moving brokers. A moving agent represents larger moving companies or networks, like van lines. Moving agents often handle logistics, customer service, and local services on behalf of the parent moving company. They can ensure your moving experience runs smoothly and collaborate with brokers to fulfill your needs.
Do brokers have specific certifications?
All moving brokers must register with the Federal Motor Carrier Safety Administration (FMCSA) and obtain broker authority, which includes a valid Motor Carrier (MC) number. Brokers must also secure surety bonds and carry liability insurance to operate. Before you hire a broker, verify their credentials with the FMCSA. A reputable broker will always volunteer this information. If your prospective broker doesn’t, it’s a red flag and a sign to shop elsewhere.
How do moving brokers make money?
How moving brokers make money depends on their unique business model. Many moving brokers earn their money through fees or commissions. After they connect you with a carrier, the broker charges a percentage of the total moving cost or a flat fee for services. In many cases, this compensation is included in your upfront estimate.
Other moving brokers, however, make money by accepting the difference in cost that they charge you and what the carrier charges them. This means some moving brokers act similarly to a wholesale retailer who profits as the middleman between a manufacturer and consumer retailer. In this comparison, a manufacturer would be equal to a moving carrier, and the consumer would be the person moving.
Are moving brokers expensive?
Moving brokers aren’t necessarily more expensive than hiring carriers directly. They can sometimes save you money by securing a competitive rate from a carrier. Your cost may vary based on fees, your move’s unique needs, and market conditions. Compare quotes and ask for a line-item breakdown to ensure you understand the costs completely.
Should I Hire a Moving Broker or Carrier?
As you shop for long-distance moving services, you’re likely trying to decide between hiring a broker or carrier. The decision ultimately depends on your needs. Perhaps you don’t have time to make several phone calls to different movers or know exactly what kind of services you require. In this case, a moving broker can help.
If you still have questions, the best thing you can do is keep researching the moving process and everything it entails.
Moving Resources
There’s a lot more that goes into planning a long-distance move than you might expect. Consider the following information as you think about whether to hire a moving broker or work with a carrier directly:
- Choosing the Right Moving Company
- Know the Hidden Costs of Moving
- Understanding Moving Contracts
- 10 Common Moving Mistakes to Avoid
- Taking the Stress Out of Moving
Once you’ve researched enough to determine whether a broker makes sense for your move, contact Safe Ship for a free quote.
Our commitment to service helps you find licensed cross-country movers within our carrier network at fair, competitive prices.
Frequently Asked Questions
What is the difference between a moving broker and a carrier?
Moving brokers facilitate moves and connect customers with licensed carriers who physically move the goods. Brokers do not own trucks or employ movers, while carriers do.
How do carriers get paid by brokers?
Carriers receive their payment from brokers after completing the moving service. The broker collects the customer’s payment and then pays the carrier after deducting their brokerage fee. When working with a moving broker, this is not something you have to worry about. Payment terms are clearly outlined in the existing agreement between the broker and carrier.
Does it cost more to use a moving broker?
While brokers charge fees for services, they can negotiate competitive rates with carriers. That can save you money. That said, costs might increase if broker fees are high or additional services are included. Compare quotes for clarity.
