Escrow

Remo

New Recruit
Hello all,

Is escrow a common part in a carrier/owner-operator lease agreement? If so, what would you say the average escrow withholding is? I am looking at a $1,500 escrow with a carrier that would be deduced at a flat rate, weekly, from my settlements until the full escrow amount of $1,500 is reached. This would be for a straight truck lease agreement. This is the first time a carrier has mentioned anything about an escrow to me.
 

xiggi

Veteran Expediter
Owner/Operator
Escrow ia very common, I've never paid more than 500. But I'm in a van.
 

Treadmill

Veteran Expediter
Owner/Operator
Hello all,

Is escrow a common part in a carrier/owner-operator lease agreement? If so, what would you say the average escrow withholding is? I am looking at a $1,500 escrow with a carrier that would be deduced at a flat rate, weekly, from my settlements until the full escrow amount of $1,500 is reached. This would be for a straight truck lease agreement. This is the first time a carrier has mentioned anything about an escrow to me.
That is about the going rate for escrow on a straight truck.
 

Greg

Veteran Expediter
Owner/Operator
$1000-1500 escrow is very common. There should also be a clause in the contract regarding interest , paid or not, on Your escrow money. And also what Your escrow money can be spent on.
 

Opel2010

Veteran Expediter
Owner/Operator
$1000-1500 escrow is very common. There should also be a clause in the contract regarding interest , paid or not, on Your escrow money. And also what Your escrow money can be spent on.
Some carriers don't call it escrow, just to make sure they don't pay that interest...
 
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Opel2010

Veteran Expediter
Owner/Operator
Hello all,

Is escrow a common part in a carrier/owner-operator lease agreement? If so, what would you say the average escrow withholding is? I am looking at a $1,500 escrow with a carrier that would be deduced at a flat rate, weekly, from my settlements until the full escrow amount of $1,500 is reached. This would be for a straight truck lease agreement. This is the first time a carrier has mentioned anything about an escrow to me.

Large carriers do ask for escrow, if you're signing for a tiny carrier, do a little google search about reviews regarding that carrier...
 

Remo

New Recruit
Thank you for all of the feedback. You'd think after talking with a few carriers someone would have mentioned it more than once. I looked a little puzzled when the guy threw the $1,500 escrow at me...
 
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