On an interstate move, a binding estimate guarantees the total price for the goods and services it lists. A non-binding estimate is the mover's best guess, and the final bill follows the actual weight, but at delivery you cannot be required to pay more than 110 percent of it. In-state moves follow state rules, which differ.
| Binding | Non-binding | |
|---|---|---|
| What it promises | The total cost for the quantities and services shown | An approximate cost; final charges follow actual weight and the mover's tariff |
| Can the mover charge for it? | Yes | No, it must be free |
| Most you pay at delivery | The estimate amount | 110 percent of the estimate |
| Both may add at delivery | Services you asked for after the bill of lading was issued, and charges for impracticable operations up to 15 percent of all other charges due | |
Sources for the table: 49 CFR 375.401, 375.403, 375.405 and 375.703.
Rules for every interstate estimate
- The mover must give you a written estimate before it issues the bill of lading, and must say whether the estimate is binding or non-binding (49 CFR 375.401(b)).
- The estimate must rest on a physical survey of your goods. You can waive the survey, but only in writing, signed before loading (375.401(a)).
- You and the mover both sign the estimate, and you get a dated copy at signing (375.401(h)).
- The mover must state the forms of payment it will accept at delivery (375.401(c)).
- If the estimate is based on volume and will be converted to weight, the mover must explain the conversion formula in writing (375.401(e)).
- An estimate can be changed before loading if you both agree. It cannot be changed after loading (375.401(i)).
- A broker may give you an estimate only if it has a written agreement with the mover that adopts the broker's estimate as the mover's own (375.409).
When you add items or services
If you have more goods than the estimate lists, or need services it does not include, the mover does not have to honor the original estimate. Before loading it must do one of these: reaffirm the estimate, write a new one that you sign, or, for a binding estimate, agree with you in writing to treat it as non-binding (375.403(a)(6), 375.405(b)(7)). If the mover loads without doing any of these, the original estimate stands (375.403(a)(7), 375.405(b)(8)).
If the mover decides after the bill of lading is issued that extra services are needed, it must tell you what they are first and give you at least one hour to decide (375.403(a)(8)).
How the 110 percent rule works
On a non-binding estimate, the face of the estimate must say that you will not be required to pay more than 110 percent of it at delivery (375.405(b)(5)). Once you pay that amount, plus any charges allowed for added services and impracticable operations, the mover must release your goods (375.407(a)). FMCSA calls this the 110 percent rule (FMCSA).
Any amount above that is billed after delivery. The mover must send the invoice within 15 days of delivery, excluding weekends and federal holidays. You then have seven days to pay. If you do not, the mover's tariff must extend the period to 30 days, with a service charge of one percent of the invoice and a $20 minimum (375.807).
A low non-binding estimate can limit what the mover collects at delivery; the regulation warns movers of exactly that (375.401(d)). What happens if a mover demands more before unloading.
In-state moves
These federal rules do not govern a move that stays inside one state. Some states set their own estimate rules and some set none. Check your state page for the estimate rules we could confirm.
Sources
- 49 CFR 375.401, estimating charges , Electronic Code of Federal Regulations
- 49 CFR 375.403, binding estimates , Electronic Code of Federal Regulations
- 49 CFR 375.405, non-binding estimates , Electronic Code of Federal Regulations
- 49 CFR 375.407, releasing a shipment moved on a non-binding estimate , Electronic Code of Federal Regulations
- 49 CFR 375.409, estimates by household goods brokers , Electronic Code of Federal Regulations
- 49 CFR 375.703, maximum collect-on-delivery amount , Electronic Code of Federal Regulations
- 49 CFR 375.807, invoices and credit after delivery , Electronic Code of Federal Regulations
- Steps to Select a Mover , Federal Motor Carrier Safety Administration