Understanding the Requirements for Customs Bonds To Import Goods Into The Country
What Is a Customs Bond?
A bond is required by Customs and Border Protection (CBP) for any party who imports goods or transports imported goods through the United States. It acts as a sort of insurance policy for CBP to ensure that they are reimbursed in the event the shipping party does not meet their obligations. This CBP bond is essentially a contract that is used to guarantee the requirements imposed by the CBP are satisfied.
There are three parties involved in a CBP bond: a principal, a surety, and a beneficiary. The principal is the importer, carrier, warehouse, broker, etc. that is attempting to import goods into the United States. The surety is the insurance company or licensed customs broker authorized by the Department of the Treasury that issues the CBP bond to the principal. The final party is the beneficiary, which is always the US Customs and Border Protection.
Types of Customs Bonds
There are two types of CBP bonds that are directed toward different necessities: Single Transaction Bonds (STB) and Continuous Bonds (CB). Because bonds are necessary for nearly all-formal CBP entries, they are available to cover multiple transactions. Promptus LLC works with both first-time shippers and long-time business importers to help them get the necessary requirements to successfully clear Customs. The type of bond you will need will depend on how often you will be importing into the United States.
- Single Transaction Bonds are, as the name suggests, for single importations. They typically can be purchased at the value of the goods being imported, excluding any applicable taxes, fees, and duties. This is an ideal option for shippers who are not importing into the US often.
- Continuous Bonds are for importers who will be bringing goods into the US often and covers multiple transactions. Importers can obtain them for approximately 10% of the duties, taxes, and fees.
How Can I Obtain a Customs Bond?
A CBP bond can be attained through a surety licensed by the Treasury Department. However, many companies prefer to use a customs broker to take care of filing all the necessary documents and fulfilling Customs requirements. A CBP power of attorney will first need to be filed to allow your licensed customs broker to act on your behalf.
If you wish to obtain a CB bond, you will need to apply through the United States Customs and Border Protection via the entry office at your desired import destination. You will need to submit several various documents and pay any applicable duties and taxes before it will be issued. Promptus LLC has been providing global logistics services for over 15 years, and can help clients understand the monetary guidelines of the appropriate bond for your import needs or learn more about the Bonds Centralization Program.
Make Sure You Cover All the Bases
Don’t run the risk of having your goods held by Customs for lack of meeting a necessary requirement. Imports that aren’t successfully cleared by customs may incur additional fees or require additional documents to release the shipment. Promptus LLC is centrally located in South Florida and has been working with high traffic locations such as the Port of Miami for over a decade. Choosing an experienced global logistics company can help ensure you dot all the I’s and cross all the T’s so your goods can clear Customs with no hassle.