Customs Bond Requirements You Need to Know

a customs broker with a globe floating in his handAre you importing products into the US via El Paso and worried about customs bonds? Importing involves several processes that can be intimidating to a new importer. RM Customhouse Brokers Inc. are specialists in customs and warehousing that can guide you through the processes.

When Do You Need Customs Bonds

A customs bond is a contract that acts as an insurance policy. It guarantees that you will make payments to to U.S. Customs and Border Protection (CBP) if you do not perform specific required actions. These bonds have a number of uses. Your company needs a bond if you are are importing anything over $2500 into the US, and any regulated goods. Examples are foods, drugs, and firearms. This customs bond ensures that you will pay all duties, taxes, and fees owed to the federal government. 

Different Customs Bonds

The frequency of your imports will determine the kind of bond you need. If you are frequently importing, you will need a continuous customs bond. This is usually ideal for repeat importers and transport carriers dealing with imports. A single entry customs bond will suit your needs if you are doing a one-time import. You can also use this bond if you are importing less frequently, for instance only five times in a year.

Fees for Every Bond

For a single entry customs bond, you will be required to post an amount that is equal to the value of the import including any tax, duty, and fee. If the goods are regulated by federal law, you must post a bond amount three times the value of the goods including tax, duty, and fee. You must make a minimum deposit of $50,000 for continuous customs bonds. Surety companies will require the company’s financials when extending the continuous bond, for better assessment of risk. If you have bad financials, they will require a cash bond.

A Customhouse Broker Will Benefit Your Company close up of wire mesh fence enclosing a container yard

If you are an importer in El Paso, you may want to consider a customhouse broker. Hiring a professional business like RM Customhouse Brokers Inc., will ensure you have all the right paperwork necessary. Aside from filing for the right bonds, their expertise will allow you to import your goods fast and smoothly. Not only that, if you use a customs broker to transport your goods through CBP, you can use the broker’s bond make your transaction. Employing our customs brokers can benefit your company greatly.