A broker surety bond is the financial guarantee a property broker files with FMCSA before it can operate. Federal rules require brokers to keep $75,000 in financial security in effect. Most use a surety bond, filed on Form BMC-84. The alternative is a trust fund held with a qualifying financial institution, filed on Form BMC-85.
The bond exists so that carriers and shippers have a source of payment if a broker fails to pay what it owes under its contracts. It is not damage coverage and does not pay for a scratched or dented vehicle. Damage claims run through the hauling carrier's cargo insurance.
FMCSA tightened these rules in a final rule that took effect in January 2024, with key provisions phased in through January 2026. Under it, if a broker's available security drops below $75,000 and is not restored by the deadline that follows FMCSA's notice, the agency can suspend the broker's operating authority. The rule also limits trust fund assets to readily available forms such as cash, letters of credit from federally insured institutions and Treasury bonds.
For a dealer or marketplace, an active bond filing is a basic check when choosing who arranges shipments, and it can be confirmed in FMCSA's public registration records. The roles are compared in auto transport broker vs. carrier.