What Is a Rate Con?

A rate con, short for rate confirmation, is a legal document between a freight broker or shipper and a carrier that details the movement of a load from one location to another and confirms what the carrier will be paid. That’s pretty cut and dried. The question “What is a rate con?” needs a much bigger answer. Because a rate con is the basis for all trucking.

Ready to stop building rate cons by hand? See why brokerage software that produces rate cons beats Google Docs and spreadsheets.

Thinking about grabbing a free form online? Here’s why you shouldn’t depend on rate con templates.

A rate con matters most when a load changes hands. Learn how double brokering can leave a load uninsured when the rate con no longer matches the carrier hauling it.

Every rate con also creates data a broker can use again. Learn how in More than Matchmaking: Freight Brokers and Data.

What’s on a Rate Con?

The purpose of a rate con is to confirm the pay and the load details everyone agreed to before the truck rolls. Since it’s short for rate confirmation, the purpose of a rate con is to confirm the amount to be paid for the shipment. The critical details include

• Total Carrier Pay
• Load Number
• Broker/brokerage
• Carrier
• Shipper
• Consignee (the ones receiving the goods)
• Pick up and delivery locations, along with instructions
• Weight
• Miles

That’s the basics. Other special instructions may be included, or if there are multiple components to the load, they might be listed separately.

What’s In the Rate Con Fine Print?

Rate con fine print means the terms and conditions beyond the basic load details. Some rate cons have fine print – the little details that matter. These may vary from shipper to shipper, or broker to broker. They may include

• Accessorial Charges, such as tolls, residential delivery, inside delivery, changes in the destination during the shipping process, etc.
• Liability and Insurance, including who is responsible for what costs in the case of an accident. Special insurance for an extra pricy freight may be required by the shipper.
• Payment Terms, such as payment schedules, methods, and potential penalties or deductions.
• Cancellation Policies
• Broker and/or Shipper’s terms and conditions
• Weight and Dimension discrepancies – the adjustments needed when the freight isn’t what was represented in the original offer
• Detention and Layover specifics — when can detention pay be claimed and how much.

Those are rather important details to leave to the fine print. But it’s better to get everything into a contract from the start rather than have everyone in the shipping chain suffer because something isn’t clear.

Brokerage Can’t Be Broke: Turning Rate Cons into Invoices

Brokers need to make sure they’ve got a steady cash flow. That means they have to manage the money in the fastest way possible. That only happens when the invoices for rate cons are sent out in a timely fashion. That’s the biggest strength of TruckingOffice Brokerage software — all of the rate cons you create lead directly to the invoice you need to send to shippers. For companies that use TruckingOffice PRO trucking software, your rate cons immediately import into their software, which makes your drivers very happy and willing to work with you again.

You’ve got complete control of your brokerage companies finances right inside TruckingOffice Brokerage software. Why would you look for anything else to run your trucking brokerage company?

Rate Con FAQ

What is a rate con in trucking?

A rate con, short for rate confirmation, is a legal document between a freight broker or shipper and a carrier. It details the movement of a load from one location to another and confirms the amount the carrier will be paid for the shipment.

What information is on a rate confirmation?

A rate confirmation lists the total carrier pay, load number, broker or brokerage, carrier, shipper, consignee, pickup and delivery locations with instructions, weight, and miles. Special instructions may be included, and loads with multiple components may be listed separately.

What is in the fine print of a rate con?

Rate con fine print can cover accessorial charges such as tolls or destination changes, liability and insurance, payment terms, cancellation policies, broker or shipper terms and conditions, weight and dimension discrepancies, and detention and layover pay. These terms vary from shipper to shipper and broker to broker.

Why does the rate con matter when a load changes hands?

A rate con matters most when a load changes hands. With double brokering, a load can end up uninsured when the rate con no longer matches the carrier actually hauling it.

How does TruckingOffice Brokerage software handle rate cons?

In TruckingOffice Brokerage software, every rate con you create leads directly to the invoice you send to the shipper, which helps keep brokerage cash flow steady. Carriers who use TruckingOffice PRO trucking software get your rate cons imported straight into their software.

Free Trial Available Now

If you’re getting started in the logistics industry as a freight broker and starting your own truck brokerage company, you can try out TruckingOffice Brokerage software for free. Sign up today for a free trial to use the brokerage software you can afford – but can’t afford to miss!